Talks with the International Finance Corporation (IFC) on becoming a minority shareholder in state insurance company Dunav Osiguranje will be conducted over the next six months, and if they are not successful, the government will put the insurer up for sale. If the IFC does become a minority shareholder in Dunav, it should help the largest insurance company to improve corporate governance and efficiency, with main goal to find the strategic partner in three to five years.
According to the current market capitalization and premiums in the region, Dunav’s takeover / capital increase price could be expected to be in the EUR 50mn to EUR 80mn range. Translated in the share price, this would mean RSD 1,100 – RSD 1,760. Reminder: only 5.3% shares are listed, while 94.7% is state’s capital.
Source Balkans
