Government, Air Malta sell shares in Middlesea

Corporación Mapfre has acquired 7.85 per cent of the government's shareholding and Air Malta's 7.33 per cent stake in Middlesea Insurance plc.

This transaction took place on the Malta Stock Exchange yesterday as a consequence of which Mapfre's holding in Middlesea increased from 5.49 per cent to 20.66 per cent and the government now holds 7.93 per cent shareholding.

Mario Grech, chairman and CEO of Middlesea Insurance, said that the relationship between Middlesea and Mapfre started when Corporación Mapfre SA formed part of the panel of reinsurers used by Middlesea.

This development facilitated Middlesea Insurance into becoming a fully fledged financial organisation with its shareholding structure as follows: Bank of Valletta 21.65 per cent, Corporación Mapfre 20.66 per cent, Munich Reinsurance Co. 12.73 per cent, the government 7.93 per cent, HSBC Bank Malta plc as custodian/subcustodian 5.64 per cent, Assicurazioni Generali SpA 4.67 per cent, Swiss Re Italia SpA one per cent and the general public 33.65 per cent.

Corporación Mapfre is the holding company of a group of insurance, reinsurance, fund management and service companies, ranking as the largest insurance group in Spain and one of the largest insurance groups in Latin America.

At the close of September 2004, it recorded a premium income of €5 billion and a net profit of €135.1 million, increasing 27 per cent and 21 per cent, respectively, over the same period of 2003.