ADQ is buying Centerbridge’s stake in Phoenix. Credit: Photo by Medienstürmer on Unsplash.

A consortium of Abu Dhabi funds led by ADQ are in talks with Centerbridge and Gallatin Point to acquire a controlling stake in Israeli insurer Phoenix.

According to the statement, the Emirate funds are expected to buy a 25-30% stake in the financial services firm.

Go deeper with GlobalData

Data Insights

The gold standard of business intelligence.

Find out more

Centerbridge Partners and Gallatin Point together hold a 33.44% stake in Phoenix, which offers asset management, and investment services besides insurance. 

The ADQ-led investors will be partnering with Gallatin Point for the acquisition of the stake.

Private investment firm Gallatin Point will remain a joint control shareholder and continue its participation on the Phoenix board of directors, the statement read. 

The deal’s terms were not disclosed by the companies. 

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.

According to a Bloomberg report, UAE funds will be paying approximately $855m for the stake in the Israeli company.

Phoenix is a publicly traded firm on the Tel Aviv stock exchange with a $2.85bn market value.

Key executives at Phoenix are also anticipated to purchase 1%-2% of the company’s equity under the same conditions.

In a joint statement, Centerbridge and Gallatin Point said: “Together with the new investors and local board members we will continue to work in full cooperation with Phoenix’s management to help Phoenix retain and expand its role as the industry leader and to help it attain even greater success in the future.”

The transaction is subject to regulatory approvals, which include a control permit from the Capital Market, Insurance and Savings Authority.

According to a source familiar with the transaction, ADQ is buying Centerbridge’s stake in Phoenix in a non-binding agreement that might take months to close after receiving shareholder and regulatory clearances, reported Reuters.