As part of this transaction, Intact will sell its 50% shareholding in RSA Middle East to NLGIC. The remaining shares, owned by our RSA Middle East shareholders, will be exchanged into NLGIC shares, making the RSA Middle East Shareholders the majority shareholders of NLGIC after OMINVEST. Upon obtaining regulatory approvals, RSA Middle East will become a wholly owned subsidiary of NLGIC. RSA Middle East will continue to hold a majority shareholding in Al Alamiya for Cooperative Insurance Co. in Saudi Arabia and in Al Ahlia Insurance Co. in Oman.

Intact and RSA have a duty to review and support proposals which they believe can benefit their shareholders, whilst also considering the interests of other stakeholders.
Following a thorough review of the opportunities in general insurance in the Middle East region, Intact and RSA see a clear path forward for the business to grow profitably across Oman, UAE and Saudi Arabia. However, to grasp these opportunities requires local knowledge and investment in capabilities.

NLGIC, based in Oman, is one of the Sultanate’s largest insurance players and has a strong presence in Health insurance in the UAE. NLGIC has local experience and resources to offer and with OMINVEST group, have set out a clear intention for how they could help RSA Middle East’s businesses grow further.

It’s simply too early to say. However, any changes to trading brands will need to be done over time and sensitively, explaining the process well to customers and other stakeholders.