CMA to evaluate MEDGULF for probable suspension or delisting

The Saudi Capital Market Authority (CMA) said it will evaluate Mediterranean and Gulf Insurance and Reinsurance’s (MEDGULF) financial situation in the coming period, which may result in the suspension or delisting of the company’s shares.

The CMA will check to see if the company has a sufficient level of operations or assets to warrant the trading of its shares on Tadawul.

Last week, the Saudi Arabian Monetary Authority (SAMA), which oversees the Saudi insurance sector, banned MEDGULF from issuing or renewing insurance policies, as of January 30.

Before the insurer can resume normal operations, it must increase its capital to meet solvency requirements, SAMA said.