Riyadh: Liva Insurance Company (“Liva KSA”) and Malath Cooperative Insurance Company (“Malath Insurance”) have signed a non-binding memorandum of understanding to evaluate a potential merger between the two companies.

Liva KSA [TASI: Liva], which is majority owned by Liva Insurance BSC (c), a subsidiary of Liva Group [MSM: LIVA], provides a suite of best-in-class insurance services for customers across the Kingdom of Saudi Arabia, with SAR 522 million (USD 139 million) in gross written premium (GWP) last year.

Malath Insurance [TASI: Malath Insurance] was established in 2007. It services a wide customer base with a diverse portfolio and is considered one of the leading and most distinguished insurance companies in the region for its technical services and innovative insurance products, with SAR 871 million (USD 232 million) in GWP last year.

Tariq AlNaeem, Chairman of Liva KSA, said: “Liva KSA and Malath share many common values, including a commitment to putting our customers first. We see synergies between the two businesses that can catalyze growth by enhancing the customer experience and expanding product offerings, as well as create more value for our shareholders.”

Bader Al-Ali, Chairman of Malath Insurance, said: “This strategic partnership with Liva will result in a powerful synergy between the two businesses. Malath and Liva KSA enjoy a diverse range of products and services, as well as advanced technical and technological expertise, which will contribute to building a strong entity capable of competing on multiple fronts. This partnership will empower the merged entity to innovate and provide advanced solutions that better meet customer needs.”

Liva KSA and Malath Insurance, both of whom are listed on Tadawul, the Saudi stock exchange, will carry out all necessary due diligence as they explore a statutory merger, pursuant to the provisions of the Companies Law and Merger and Acquisition Regulations of the Kingdom of Saudi Arabia. 

Any transaction would be subject to the signing of a definitive agreement between Liva KSA and Malath Insurance, as well as the approval of the relevant authorities and shareholders. The MOU, which was signed on 21 August 2024, will terminate after 12 months or at the date of the execution of a merger agreement, whichever comes first.

About Liva Group

Liva Group is a leading insurer in the region with strong technical capabilities and customizable solutions across all lines of insurance, underpinned by exceptional service. With an employee strength of 1200 people, serving more than 1.5 million customers, Liva has established operations across GCC markets, including Oman, Saudi Arabia, the United Arab Emirates, Kuwait, and Bahrain. The Group also has wholly owned subsidiaries viz; NSSPL(India) and Inayah TPA(UAE) to support its business growth.

Media enquiries:
Khalid Nouh/Sarah Abdelbary
Brunswick Group
Email: liva@brunswickgroup.com
Tel: +966 50 295 2174/ +971 56 174 8649

About Malath

Safe living, prosperity and welfare are demands which man has been striving to satisfy. They are completely God’s grace and favour for his obedience, as well as the blessing of feeling secure and satisfied. Ever since, man has developed many methods to help him achieve the highest levels of welfare and prosperity while looking for safe haven to help him experience a secure and vibrant life. Hence, the idea of Malath, which means in Arabic “safe haven” that provides you shelter in difficult times.

From this perspective, Malath Cooperative Insurance Company was founded by an elite investment consortium comprising prominent Saudi personalities, with a paid-up capital of SAR 300 million.

In April 2007, the company had established itself as a leading provider of insurance products and services, fulfilling the needs of the local market through an ideal insurance concept and total professionalism, in 2017 the Company's share capital increased to SAR 500 million by rights issue prospectus. Malath is considered one of the first and most distinguished companies in the region in providing automated and technical services to its customers.