GAC approves MEDGULF-Buruj merger

Logos of Mediterranean and Gulf Insurance and Reinsurance Co. (MEDGULF) and Buruj Cooperative Insurance Co.

The Mediterranean and Gulf Insurance and Reinsurance Co. (MEDGULF) obtained the General Authority for Competition’s (GAC) no-objection on proceeding with the economic concentration resulting from the potential merger with Buruj Cooperative Insurance Co. (Buruj).

In two separate Tadawul statements today, Jan. 6, the two companies said the potential merger is still under consideration and no binding agreement has been signed to date.

For More Mergers and Acquisitions

In case an agreement is reached, the potential merger will be subject to the approvals of the Insurance Authority (IA), the Capital Market Authority (CMA), the Saudi Exchange (Tadawul), and shareholders of both companies.

Further developments will be announced in due course, the companies said. In July 2024, MEDGULF and Buruj signed a non-binding memorandum of understanding (MoU) to evaluate the feasibility of a potential merger, according to data available with Argaam.

Under the MoU, MEDGULF will be the merging company through a share-swap deal.

MEDGULF will raise its capital by issuing new shares to Buruj shareholders, based on the agreed swap ratio.