Bosnia's Standard Group has decided not to go through with the acquisition of a majority interest in local insurer Bobar Osiguranje, local media reported on Thursday.

Standard Group has abandoned earlier plans to recapitalise Bobar Osiguranje with 3.8 million marka (1.9 million euro), news portal Capital.ba reported.

According to Capital.ba, Bobar Osiguranje gave up on Standard Group as potential investor, causing the latter to suspend its earlier plans.

In November, the Insurance Agency of Bosnia's Serb Republic said it had cleared plans by Standard Group to become a majority shareholder in the local insurer. The takeover was expected to be executed mid-December.

Bobar Osiguranje recorded a net loss of 12.2 million marka in 2014, compared to a net profit of 2.4 million marka a year earlier, as operating revenues dropped by 6.9% to 16.1 million marka.

The insurer, based in Bijeljina, is part of the local Bobar Group, a diversified holding company, which also operates in the fields of banking services, transport and logistics, energy, metals, real estate and media. Read the full story BOSNIA's Standard Group backs off from Bobar Osiguranje takeover