Turkiye Sigorta, the country's biggest non-life insurer, has decided to double its paid-in capital to TRY20bn ($446m) through a 100% bonus issue, with funds to be transferred from retained earnings.
The company's board of directors made the decision on 13 March 2026, and an application for the capital increase was submitted to the Capital Markets Board on 14 April.
The main shareholder of Turkiye Sigorta is TWF Finansal Yatirimlar, which owns 81.1% of the company's share capital. The remaining 18.9% of the company's shares are traded on Borsa Istanbul.
This capital increase is the latest in a series undertaken by Turkiye Sigorta. The insurer was established in its current form in September 2020 through the merger of three state-owned insurers with an initial capital of TRY1.16bn. In 2024, the paid-in capital was raised to TRY5bn from TRY1.16bn. In 2025, Turkiye Sigorta expanded its paid-in-capital to TRY10bn from TRY5bn. It also increased its registered capital 10-fold to TRY50bn.
Magdeburger Sigorta in talks with prospective investor
Separately, Magdeburger Sigorta is in the process of negotiating an agreement to increase its capital, according to the insurer’s General Manager Mr Ceyhan Hancioglu. He said, "We do not wish to name names, but we are in the process of reaching an agreement with a group.” He added that the company will submit the official application for regulatory approval within the next 3-4 weeks.
This move follows a directive by the Insurance and Private Pension Regulation and Supervision Authority (SEDDK) that bars Magdeburger Sigorta temporarily from issuing new insurance policies or renewing policies across all lines of business. SEDDK cited Magdeburger Insurance’s inability to address financial weaknesses. In a media statement, the regulator stated that Magdeburger Sigorta had been under close monitoring for some time and that phased control measures had been implemented. However, it emphasised that, despite these measures, the company failed to meet capital adequacy requirements.
The suspension of business will last until Magdeburger Sigorta meets the necessary financial conditions.