UAE-based National Bank of Ras Al Khaimah (RAKBANK) has purchased 79.23% interest in Ras Al Khaimah National Insurance (RAK Insurance).

The company acquired a total of 87.15 million shares through a tender offer in RAK Insurance that is valued at AED317.2m ($86.37m).

RAKBANK chairman H.E. Mohammad Omran Alshamsi said: "The acquisition is consistent with the Bank’s key strategic objective of strengthening market share and I am confident that this acquisition will deliver long-term value to all stakeholders."

RAKBANK has acquired the majority stake in the insurer as part of its strategy to become a broad-based financial services firm.

Established in 1974, RAK Insurance holds a full license to issue conventional general and life policies.

RAK Insurance CEO Andrew Smith said: "Developing the bancassurance channel, RAK Insurance will be able to further strengthen its client’s relations and help provide the bank with unique and innovative products and services."