AZERBAIJAN: AXA terminates sale agreement with AXA MBask Insurance Company

10 April 2019 — Marina MAGNAVAL
The decision to liquidate AXA Mbask Insurance was made after an agreement of intent to sell the company's shares, concluded between AXA and Elkhan GARIBLI on May 21, 2018. The agreement has lost its legal force, the company announced.

In February 2018, AXA Group decided to sell all business in Azerbaijan. The buyer was Elkhan GARIBLI, founder and CEO of Mbask Insurance Company. However, the transaction for the sale of shares did not take place.

According to the Company's press release, "AXA Mbask Insurance Company has ceased underwriting new insurance business and will exclusively administer the current portfolio with the purpose of terminating its insurance activities in Azerbaijan as soon as possible, while preserving the interest of existing clients in Azerbaijan."

AXA Mbask insurance company plans to complete the liquidation process throughout 2019, due to the length of the liquidation process from a legal point of view and the resolution of client issues. Current customers will retain their contracts until closing but after said contracts will not be transferred to other companies.

AXA Mbask insurance has been operating since 1992 and was one of the first private insurance companies in Azerbaijan. In 2010, one of the largest insurance companies in the world, AXA Group, acquired 51% of Mbask shares, subsequently increasing them to 100%, Trend News Agency wrote.

The official press release of AXA can be found here.

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