The European Bank for Reconstruction and Development (EBRD) and the insurance company Direct Insurance Financial Investments Ltd (DIFI, Israel) will invest $120 mln in a Russian insurance company, as the EBRD informs.

The EBRD BOD has taken a decision to acquire an insurance company in Russia. The Bank is planning to purchase shares of one of Russian insurers rendering services other than life insurance, for example, those of automobile insurance. Negotiations with some participants of the market are already in process.

The EBRD investments will be $35 mln and will be used to acquire shares and to increase an insurer's authorized capital in future. The project costs $120 mln in total; DIFI is a co-investor of the project.

DIFI is a leading Israeli company in direct insurance. Its shares are listed on the Tel Aviv Stock Exchange. The Company has a controlling shareholding in Direct-IDI insurance, an Israeli insurer. In addition, DIFI has a subsidiary in Poland - Link 4.

"AK&M", 28/07/2006 12:51