The Public Investment Fund (PIF) has acquired a 23.08% stake in Saudi Reinsurance Company (Saudi Re) through a capital increase and subscription to new shares.
This investment aims to enhance Saudi Re’s financial capacity and credit rating, enabling the company to meet the growing demand in the domestic market and expand its regional and global presence. By strengthening Saudi Re, PIF seeks to bolster Saudi Arabia’s insurance sector, facilitating better risk management and coverage for insurers and their policyholders.
“By investing in Saudi Re, PIF is reinforcing a leading regional reinsurer and strengthening Saudi Arabia’s insurance sector, which is an essential component of sustainable economic growth,” said Sultan Alsheikh, Head of Financial Institutions in MENA Investments at PIF. “This enhances access to quality financial services for insurers and their policyholders and strengthens the sector.”
Founded in 2008, Saudi Re holds an A- rating from S&P Global and an A3 rating from Moody’s. In the first nine months of 2024, the company reported total written premiums of SAR 1.94 billion ($520 million), achieving a compound annual growth rate of 17% over the five years up to the end of the 2023 financial year.
The transaction has received regulatory approvals and was endorsed by Saudi Re’s shareholders at an extraordinary general meeting.
