Riyadh-based reinsurer sold its ownership stake in Probitas Holdings, Bermuda to Aviva.

Saudi Re has completed the sale of its 49.9% stake in Probitas Holdings of Bermuda to Aviva for £123m ($159m).

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The Riyadh-based company announced on the Tadawul website that the deal would support its growth and financial position, with a positive impact on its financial statements in the third quarter of the 2024 financial year.

It noted that the book value of the asset as of the first quarter of 2024 was SAR 211m.

“This transaction aims to enhance the company’s competitive position and financial position, enabling it to redirect investments to develop growth opportunities in both local and international markets,” said Ahmad Al-Jabr, acting CEO of Saudi Re.

“The transaction offered attractive terms, and the proceeds from the sale will strengthen the company’s capital base and increase its solvency margin. This will create significant value for shareholders, generating a return more than five times the initial investment,” Al-Jabr added.

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