Dubai Islamic Insurance & Reinsurance (AMAN) has agreed to sell its life insurance portfolio to Abu Dhabi National Takaful Company as part of its plans to transform into an investment company.
In a statement, AMAN said: "The company has sent the request (on the life insurance sale) application to UAE Central Bank - Insurance Sector to approve the sale and complete the procedures to finalise the transaction. More information shall be declared at a later stage."
The deal is subject to the approval of both the UAE Central Bank and the Securities and Commodities Authority.
AMAN, listed on the Dubai Financial Market (DFM), announced earlier this month its intention to exit its general takaful, health insurance and group family takaful operations. In a statement to the DFM on 10 October, AMAN said that the company has a strategic plan to exit the insurance sector and transform itself into a holding company once its full exit from insurance operations is completed.
It had started talks with Dubai-based Islamic Arab Insurance (Salama) to "explore the possibility of a sale of part of the insurance/takaful business of the company". Both sides aim to complete the deal by the end of December 2022.
AMAN said in its 28 October statement that upon the completion of the separate deals with Abu Dhabi National Takaful Company and Salama, it would exit the insurance sector entirely in preparation for its transformation into an investment company.
