ATHENS – The German-based insurer Allianz said it will acquire Greek insurer European Reliance in a 207-million euro ($234.22 million) deal that will create Greece’s fifth-largest insurer based on gross written premiums.

The 7.80 euros ($8.83) per share bid represents a 15.7 percent premium to the Feb. 11 closing price, Allianz said, adding it was entering share purchase agreements covering 72 percent of the Greek company’s shares and launch a takeover bid for the remaining stake, the Reuters news agency reported.

“This is an exciting opportunity for Allianz to elevate its position in the attractive Greek insurance market with an ideal entity such as European Reliance,” Allianz management board member Sergio Balbinot told the site.

As part of the transaction, European Reliance will be combined with Allianz Hellas, the insurer’s Greek unit. The merged entity will be led by European Reliance CEO Christos Georgakopoulos, Allianz said.