OREANDA-NEWS. December 30, 2010. SOGAZ Insurance Company acquired 45.9% of shares of the Black and Baltic Sea Insurance Joint-Stock Company SOVAG (SCHWARZMEER UND OSTSEE Versicherungs-Aktiengesellschaft SOVAG) from Volga Resources SICAV SIF S.A. Investment Fund. Vadim Yanov, Chairman of the Board of Directors of SOGAZ, was elected a member of the SOVAG Supervisory Council.

The transaction was agreed upon with the German Federal Department of Financial Control, approved by the Antimonopoly Service of Germany, and closed on 25 November of the current year in Hamburg.

Volga Resources Fund remains the other co-owner of SOVAG with 54.1% of shares of the German insurer. The shareholders’ support will contribute to further strategic development and dynamic growth of the company.

“Becoming a shareholder of a German insurer is another step for SOGAZ within its strategy aimed at expanding its activities in the international insurance market, – says Vadim Yanov, Chairman of the Board of Directors of SOGAZ. – SOVAS is well known both in post-Soviet states and in the European Union. Besides, the company has great expertise and practices, which in combination with the up-to-date business techniques will make it really attractive for investments. The company will play a key role in promoting the SOGAZ brand name and insurance products in the European market”.

SOVAG was founded in Germany in 1927. Apart from the main office located in Hamburg, there are branches in Cologne, Berlin, London, Vienna, and a representative office in Moscow. The Company employ a total of about 120 people.

SOVAG holds license for most types of insurance except for long-term medical insurance, life insurance, and loan insurance. SOVAG’s main field is insurance of industrial and trade companies against risks.

According to the data for 2009, the company’s portfolio includes 33.5% of vehicle owners’ liability insurance, 20.9% of transport insurance, 20.0% of insurance against fire and property insurance, and 13.3% of inwards reinsurance. At the end of 2009, total insurance fees amounted to 78.2 million euros, payments – to 70.2 million euros, net profit – to 1.42 million euros. In 2010, according to the A.M. Best rating agency, SOVAG was again ranked B plus  plus  (good) – this rating has been confirmed since 2003.

Let us remind you that at the end of 2008 SOGAZ Insurance Company opened its Representative Office in the Republic of Kazakhstan. Besides, jointly with Serbiagaz, the Group is working on the creation of the SOGAZ-Serbia insurance company in Serbia, with SOGAZ as its controlling shareholder.