Freshfields has advised Emirates Insurance Company PJSC (EIC) on the share buyback from one of its shareholders, Mamoura Diversified Global Holding Company PJSC (Mamoura), which held a 11.81333% stake representing 17,718,999 of EIC’s issued share capital, and thereafter re-distributed these shares, for free, to its existing shareholders on a pro-rata basis (the Transaction).

The Transaction involved heavy regulatory engagement with the United Arab Emirates (UAE) Securities and Commodities Authority, the Abu Dhabi Securities Exchange and the Central Bank of the United Arab Emirates.

The firm, on behalf of EIC, was able to successfully obtain several exemptions for the execution of the Transaction, notably a UAE Cabinet of Ministers exemption from the 10% threshold for share buybacks under Article 221 of Federal Decree Law No. (32) of 2021 concerning Commercial Companies. The Transaction marks the first of its kind in the UAE, representing a major milestone for the market.

The Freshfields team advising on the transaction was led by partner Pervez Akhtar and associate Khaled Al-Assaf with principal support from associate Yazan Al-Shwaimat.