IA approves MedGulf, Buruj potential merger

MedGulf and Buruj signed MoU in July 2024 to evaluate feasibility of a merger

Saudi Arabia’s Insurance Authority (IA) approved on Sept. 7 the proposed merger deal between The Mediterranean and Gulf Insurance and Reinsurance Co. (MedGulf) and Buruj Cooperative Insurance Co. (Buruj), along with a number of related matters.

In separate statements to Tadawul, the two insurers noted that the merger remains subject to certain conditions, including approvals of the Capital Market Authority (CMA) and the shareholders of both companies.

For more news and details on M&As

Any related material developments will be disclosed, they added.

According to data available on Argaam, MedGulf and Buruj had signed a non-binding memorandum of understanding (MoU) in July 2024 to assess the feasibility of the merger.

In January 2025, the companies received a no-objection clearance from the General Authority for Competition regarding the economic concentration arising from the proposed merger.

Subsequently, in July 2025, the two companies entered into a binding agreement, under which Buruj will merge into MedGulf, with all of Buruj’s rights, obligations, assets, and contracts transferred to MedGulf. In consideration, MedGulf will issue 33.16 million ordinary shares to Buruj’s shareholders.