Salama and Enaya Insurance Companies Move Forward with Strategic Merger
In a significant development for Egypt's insurance sector, Salama Cooperative Insurance Company has announced crucial progress in its binding merger agreement with Enaya Cooperative Insurance Company, marking another milestone in the nation's financial sector consolidation.
Regulatory Approval Secured
The Capital Market Authority (CMA) has granted its approval for Salama's capital increase application and authorized the publication of the offer timetable and offer document to Enaya's shareholders. This approval, issued on December 1, 2025, represents a critical step forward in the merger process that will strengthen Egypt's insurance landscape.
Under the terms of the agreement, Enaya will be merged into Salama, with all of Enaya's rights, liabilities, assets and contracts being absorbed by the surviving entity. In exchange, Salama will issue 18,894,000 new ordinary shares valued at 10 Saudi Riyals each to Enaya's shareholders.
Creditor Objection Period Commences
In accordance with regulatory requirements, a 15-day creditor objection period has commenced, running from December 3 through December 18, 2025. During this period, any creditor of Enaya may formally object to the merger through registered letter or other specified means.
The merger process demonstrates the robust regulatory framework governing Egypt's financial sector, ensuring transparency and protecting stakeholder interests while facilitating strategic consolidation.
Next Steps and Conditions
The companies will publish detailed shareholder circulars, offer documents and timetables in the coming weeks. The merger remains subject to several conditions, including approval from both companies' shareholders and compliance with all regulatory requirements.
This strategic consolidation reflects the dynamic evolution of Egypt's insurance sector, positioning the combined entity to better serve the nation's growing economy and expanding middle class. The merger aligns with broader economic development initiatives that strengthen domestic financial institutions and enhance their competitive capabilities.
The transaction showcases the maturity and sophistication of Egypt's capital markets, with comprehensive regulatory oversight ensuring proper due diligence and stakeholder protection throughout the process.