The insurance group Assurance Recorded a total profit of NIS 5.3 million in 2021. This is a jump of about 137%, compared to a profit of about NIS 2.2 million in 2020. The company’s revenues in 2021 from gross premiums increased by about 30% to about NIS 309.9 million compared to about NIS 238 million in 2020.
The company reports that the total premiums earned gross in 2021 increased by 44% to NIS 271 million, compared to NIS 187.6 million in 2020. The increase in revenue is a result of the growth in activity in all three of the company’s industries.
In the compulsory car sector, the premiums earned gross in 2021 increased by about 44% and stood at NIS 220.4 million. In the property vehicle segment, premiums earned gross increased by approximately 43% and amounted to approximately NIS 49.6 million. In another property segment (apartments), activity also grew, but is still relatively small in scope, with premiums earned grossing about NIS 822,000 in 2021, compared with NIS 152,000 in 2020%.
Vishur is in the midst of the acquisition of control of the veteran insurance company Ayalon. For comparison, the total premiums earned by Ayalon in 2021 amounted to NIS 3.3 billion, which is about 15 times. In the field of general insurance, Ayalon’s premiums amounted to about NIS 2 billion. However, Ayalon ended the year with a loss of NIS 19.4 million, an improvement compared to a loss of NIS 44 million in 2020. Most of the loss is due to the general insurance industry, where the loss was NIS 57 million. In the long-term savings industry, the profit was NIS 51 million.
Last week, it was reported that recent agreements were signed, in preparation for the completion of the transaction, with the late Levi Rahmani’s estate manager (Ayalon founder) and with Caesarea Medical Electronics, which is controlled by Zvi and Anat Barak.
Regarding the completion of the Ayalon transaction, and according to the latest agreement, the Barak family will invest the full total investment, approximately NIS 270 million directly in GlobalTech at a share price of NIS 6.3, approximately 8% above the company’s IPO on the Israeli Stock Exchange in March 2021.
According to the latest agreement with the administrator of the estate, it was agreed, among other things, to reduce the consideration for the transaction by NIS 10 million, so that it will amount to NIS 462.7 million, for which Globaltech will acquire approximately 67% of Ayalon Group shares. According to the terms of the transaction, Vishor has so far paid an advance of NIS 16 million of the said consideration, and upon completion of the various conditions precedent, including receipt of the control permit, it will pay an additional NIS 34 million by May 10, 2022, and the balance with The updated transaction completion date which is set for June 30, 2022.
Vishor also reported last week on an agreement to allocate private shares of Vishor GlobalTech to investors from the Ben Yishai family (businessmen, residents of Israel and Europe), provided that the conditions precedent and the completion of the Ayalon transaction are met. The investors will invest a total of NIS 20 million in the company in exchange for a private allotment of 3.17 million ordinary shares of the company – the investment will be made at a price of NIS 6.3 for each share, as stated 8% higher than the issue price, similar to the family price. Lightning. In addition, investors were given an option for three months, to invest an additional amount in the company, against an additional share allotment, at a similar price of NIS 6.3 per share, up to a maximum holding of 4.6% of the company’s issued capital, if and to the extent the option is exercised.
Yohanan Danino, Chairman of Vishur, stated that “in the near future we intend to launch a variety of products in the business sector in Israel, through digital insurance packages, and later we will work to expand our operations in Israel to health insurance and life risk, through Ayalon, as the transaction is completed. At the same time, we are working to expand our activities to the US market and currently hold licenses to operate in 8 countries in the US, in preparation for the launch of the business activity in which we see great business potential. “