AM Best Maintains Under Review With Developing Implications Status for Credit Ratings of Solidarity Bahrain B.S.C.

LONDON--(BUSINESS WIRE)--AM Best has maintained the under review with developing implications status for the Financial Strength Rating of B++ (Good) and the Long-Term Issuer Credit Rating of “bbb+” (Good) of Solidarity Bahrain B.S.C. (Solidarity Bahrain) (Bahrain).

The Credit Ratings (ratings) were first placed under review on 23 August 2024, following the announcement that its parent company, Solidarity Group Holding B.S.C. (c) (SGH), agreed to purchase the operations of Bahrain National Insurance Company B.S.C. (c) (BNI) and Bahrain National Life Assurance Company B.S.C. (c) (BNL) for a total purchase price of BHD 75 million. The completion of the acquisition of 100% of the shares in BNI by SGH and BNL by Solidarity Bahrain was announced in April 2025. On 13 August 2025, Solidarity Bahrain received approval from the Central Bank of Bahrain to proceed with the acquisition of 100% of the shares in BNI from its parent company, SGH.

AM Best notes the increase of the company’s Tier 1 Regulatory Capital via the issuance of Non-Voting, Non-Cumulative, Perpetual Preference Shares with a total value of BHD 12 million and the completion of the issuance of perpetual subordinated debt instruments constituting Upper Tier 2 Regulatory Capital with a total value of BHD 43 million.

The ratings are expected to remain under review with developing implications until AM Best has received sufficient information from Solidarity Bahrain and is able to assess the implications of the transaction on the company’s credit rating fundamentals.

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