Mubasher: Gulf Insurance Group (GIG) has completed the acquisition of AXA’s operations in the Gulf region in exchange for $474.75 million after obtaining the necessary regulatory approvals.

The transaction included AXA Gulf and AXA Cooperative Insurance Company in Saudi Arabia, according to a press release on Tuesday.

 The acquisition of AXA’s stake in AXA Green Crescent Insurance Company in the UAE is in the final stage of the completion process and has been approved by all necessary regulatory authorities.

Following the acquisition, AXA Gulf will hold 50% ownership of Saudi Arabia's entity, and AXA will be rebranded to GIG during the upcoming months.

The transaction enables GIG to expand its insurance business portfolio into two new markets in Oman and Qatar and strengthen its position in Bahrain, the UAE, and Saudi Arabia.

The Group CEO of Gulf Insurance Group, Khaled Saoud Al Hasan, said: "The exponential insurance business growth and the quality of services will be further enhanced through our enlarged geographical presence (13 markets in the region) to better serve our customers while leveraging the existing international network and ecosystem of AXA Gulf."

Meanwhile, AXA Gulf CEO, Paul Adamson, commented: "This new chapter will allow us to build our scale, capacity, and footprint across the region and enable us to grow our competitive advantage through the creation of sustainable employment whilst supporting the local communities in which we operate."

It is noteworthy to mention that in November 2020, AXA inked an agreement with GIG to sell its insurance businesses in the Gulf region.