Kuala lumpur: MNRB Holdings Bhd has announced its proposal to divest its entire equity interest in its wholly-owned subsidiaries, Takaful Ikhlas Family Bhd and Takaful Ikhlas General Bhd, to Rakyat Nominees Sdn Bhd for a cash consideration of RM1.64 billion, subject to adjustments.

According to BERNAMA News Agency, MNRB filed a statement with Bursa Malaysia detailing that it has entered into an implementation agreement with Rakyat Nominees and Bank Kerjasama Rakyat Malaysia Bhd in relation to this proposed divestment. Bank Rakyat is the sole shareholder of Rakyat Nominees. MNRB stated that the divestment aims to unlock the value of its investments in the direct and primary takaful segments, enabling the group to further strengthen its focus on core reinsurance and retakaful businesses.

The company emphasized that this strategic move aligns with its long-term priorities and ambition to support the development of Malaysia's Islamic financial services landscape. Upon completion, Takaful Ikhlas Family and Takaful Ikhlas General will no longer be wholly-owned subsidiaries of MNRB.

In a separate statement, MNRB chairman Datuk Sulaiman Mohd Tahir noted that the divestment is part of the company's broader long-term strategy. MNRB continually reviews its investment portfolio to ensure alignment with its strategic priorities. He mentioned that this divestment presents an opportunity to leverage complementary strengths and support the growth of Takaful IKHLAS. The group is committed to managing the process responsibly, considering the interests of shareholders, customers, employees, and other stakeholders.