Ljubljana, 20 June (STA) - After Slovenia's leading insurance company, Zavarovalnica Triglav, dropped out of the bidding for the acquisition of Croatia's market leader Croatia Osiguranje, it is now gearing up to conduct due diligence at DDOR, Serbia's third insurer, currently held by Italian group Unipol-Sai, the daily Dnevnik reports.
According to the daily, Unipol-Sai has granted the Slovenian insurer an exclusive right to buy DDOR after months of negotiations. The due diligence process is to be conducted in summer, whereupon Triglav will have to submit a binding bid.
Even though Triglav has been given the exclusive right to acquire DDOR, Unipol-Sai could invite the other interested investors to bid should Triglav's offer be assessed as insufficient, according to the report.
DDOR is estimated to be worth between EUR 40m and EUR 80m, although the Italian group values what is its sole insurer abroad at almost EUR 100m in its balance sheets.
DDOR has about a 14% market share in Serbia, which has been however declining. The insurer collected EUR 70m in premiums last year, down 12% on the year before, and net profit collapsed by 80% to EUR 400,000.
Triglav chairman Andrej Slapar would not talk concretely about the company's acquisition plans for today's edition of the business daily Finance, but he said that Serbia was a key market for Triglav. Its market share there is only 3%, which he deems insufficient.