Japan’s Orix to buy stake in Bahrain’s Medgulf for $200 million


TOKYO, June 12 |
Wed Jun 12, 2013 2:57pm IST

TOKYO, June 12 (Reuters) – Japan’s Orix Corp said
on Wednesday it has agreed to buy a 25.7 percent stake in
Bahrain-based insurer Mediterranean and Gulf Insurance and
Reinsurance Company B.S.C (Medgulf) for a little over $200
million, the latest deal by a Japanese financial company seeking
growth overseas amid weak prospects at home.

Orix expects to complete the deal by the end of June pending
regulatory approval, it said in a statement. Orix will have two
seats on Medgulf’s board and another on the board of a Medgulf
subsidiary.

Medgulf is a holding company of insurance businesses in
markets including Saudi Arabia, Lebanon and Jordan and provides
a range of insurance products.

After the deal, Medgulf will be 60.2 percent owned by SLH
Holdings, 25.7 percent by Orix and 14.1 percent by International
Finance Corp, Orix said.

Orix is a diversified financial services company with
businesses ranging from leasing, life insurance, real estate and
corporate lending and a professional baseball team.

In February, it agreed to agreed to buy Dutch asset manager
Robeco from its owner, Rabobank, for 1.935 billion
euros ($2.57 billion) in a cash-and-stock deal.

($1 = 0.7533 euros)

(Reporting by Taiga Uranaka; Editing by Matt Driskill)

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