Private equity firm has agreed to invest nearly SAR126M (USD34M) in Saudi-listed insurer.
Riyadh-based GGI has been grappling with accumulated losses, and the transaction is aimed at strengthening its balance sheet and supporting a financial turnaround. The insurer’s net losses narrowed to SAR14M in Q1 2026, compared to SAR23.78M during the same period last year.
As part of the restructuring plan, the company will reduce its capital by SAR176M to offset accumulated losses before increasing it again to SAR300M through the issuance of 17.6 million new shares.
The Abu Dhabi-based investment firm will acquire 12.6 million of the newly issued shares, giving it a 42 per cent stake and positioning it as the insurer’s largest shareholder.
An additional 5 million shares will be allocated to existing major shareholders, who will convert a SAR50M shareholder loan into equity, implying a share price of about SAR10.
and are acting as advisers to BlueFive, while and are advising GGI on the transaction.
BlueFive plans to use the acquisition as a platform to expand its insurance presence across the region, targeting consolidation opportunities among smaller insurers and growth in Saudi Arabia and the wider GCC, particularly within the Shariah-compliant insurance segment.
The deal remains subject to regulatory clearance and shareholder approval before completion.
