The joint venture deal, with Kanoo Group, a well-known family-owned business in the Gulf region, sees Green Crescent Insurance Company (GCIC), a group health and life insurance company, renamed as Axa Green Crescent.
Axa Green Crescent becomes part of the Axa Group AED after the 100m bond conversion and investment transaction was agreed between the various parties.
The deal will enable Axa to start offering a range of life protection and savings products in the UAE.
Hassen Bennour, chief executive of Axa Green Crescent, said: “We are thrilled to prepare the launch of a new line of business in the UAE. Our customers will now have a unique opportunity to benefit from Axa’s global expertise in developing innovative insurance solutions for life protection and savings which will complement both our own existing health offering and the property & casualty and health offering of Axa in the Gulf.”
He added: “At Axa, our key priorities focus on offering superior value proposition and experience to our customers and distributors and our ambition is to become a local market leader and benchmark in our industry.
“We are also convinced that this diversification from GCIC’s core health business will strongly contribute to creating greater value for our shareholders. This is a long-term commitment based on a comprehensive 10-year strategic plan focused on robust and sustainable growth.”
Axa also said in a statement that the life insurance sector in the UAE had been witnessing sustained growth over the past few years against a background of a generally challenging economic environment.
Mishal Kanoo, chairman of Kanoo Group and vice chairman of Axa Green Crescent said: “We believe this is an opportune time to launch Axa Green Crescent. This investment demonstrates the commitment of Axa and Kanoo Group to the UAE market and the Gulf region. Axa Green Crescent will enable us to benefit from an untapped market segment in the UAE and to further diversify our exposure to the fast-growing Gulf insurance market.”
GCIC had been providing health and life insurance solutions to groups and corporate clients in the UAE since 2008.
Axa Group is the holding company for one of the world’s largest insurance groups, with approximately 161,000 employees worldwide.
