The Bahrain-based Arab Insurance Group (Arig) is continuing its divestment program by announcing its intention to sell its entire 38.5 per cent holdings - equivalent to 11.85 million equity shares - in Al Ahlia Insurance Co., also based in the Gulf state.
Arig recently reduced its stakes in two insurers, a Jordanian and Lebanese. The Al Ahlia Insurance Co. shares will be publicly offered through the Bah-rain Stock Exchange.
As directed by the Bahrain Monetary Agency, all eligible investors can form a consortium and submit their buying orders through any licensed broker beginning Tuesday, and their orders will be carried out on May 11.
For execution purposes, the selling and buying orders by each consortium should be submitted as a 'whole on none order'.
Potential consortia should bear in mind that for the execution of their "whole or none order", it will require each of them to open a 'joint securities account' with the Central Depository System after having signed the required agreement or contract for this purpose.
The submission of these orders, as well as the bidding and execution, will be subject to the Bahrain Stock Exchange's trading rules applicable to the 'whole or none market.'
The sale of Al Ahlia is part of Arig's strategy of streamlining its operations and focusing on the development of its core reinsurance business.
In 1995, Arig acquired most of its 38.5 per cent stake in the Bahrain-based company. Since 2000, when its officers took over chairmanship of the board and the executive committee, Arig has assumed a more active role in the management of Al Ahlia. (menareport.com)
© 2004 Mena Report (www.menareport.com)
