Enstar Announces Reinsurance-to-Close of Neon’s 2015 and Prior Years’ Underwriting Liabilities
21 December 2017 - 8:28AM
Enstar Group Limited (NASDAQ:ESGR) announced today that its Lloyd’s
managing agency, StarStone Underwriting Limited, has signed a
letter of agreement with Neon Underwriting Limited (“Neon”) for
Enstar’s Syndicate 2008 to undertake a reinsurance-to-close
transaction. Syndicate 2008 will assume the liabilities of the 2015
underwriting year of Neon’s Syndicate 2468 (comprising underwriting
years 2008 to 2015).
Enstar will assume net reinsurance reserves of £417.1 million
(approximately $558 million) relating to the portfolio and gross
reserves of £504.2 million (approximately $674.5 million).
Following the transaction, which is expected to complete in the
first quarter of 2018, Enstar will take responsibility for claims
handling and provide complete finality to Neon. Completion of the
transaction is subject to regulatory approval.
Commenting on the transaction, Dominic Silvester, Enstar's Chief
Executive Officer, said:
“This transaction will build on an established relationship with
Neon, having completed a successful reinsurance-to-close in 2016.
It brings Enstar’s total completed legacy transactions in Lloyd’s
to 21 since inception, which confirms our position as a leading
provider of legacy solutions to the Lloyd’s market.”
About Enstar
Enstar is a multi-faceted insurance group, with over $14 billion
in assets, that offers innovative capital release solutions and
specialty underwriting capabilities through its network of group
companies in Bermuda, the United States, the United Kingdom,
Continental Europe, Australia, and other international locations.
Enstar is a market leader in completing legacy acquisitions, having
acquired over 80 companies and portfolios since its formation
in 2001. Enstar’s active underwriting businesses include the
StarStone group of companies, an A- rated global specialty
insurance group with multiple global underwriting platforms, and
the Atrium group of companies, which manage and underwrite
specialist insurance and reinsurance business for Lloyd’s Syndicate
609. For further information about Enstar, see
www.enstargroup.com.
Cautionary Statement
This press release contains certain forward-looking statements
within the meaning of the Private Securities Litigation Reform Act
of 1995. These statements include statements regarding the intent,
belief or current expectations of Enstar and its management team.
Investors are cautioned that any such forward-looking statements
speak only as of the date they are made, are not guarantees of
future performance and involve risks and uncertainties, and that
actual results may differ materially from those projected in the
forward-looking statements as a result of various factors.
Important risk factors regarding Enstar can be found under the
heading "Risk Factors" in Enstar's Form 10-K for the year ended
December 31, 2016 and in Enstar’s Form 10-Q for the nine months
ended September 30, 2017, and are incorporated herein by reference.
Furthermore, Enstar undertakes no obligation to update any written
or oral forward-looking statements or publicly announce any updates
or revisions to any of the forward-looking statements contained
herein, to reflect any change in its expectations with regard
thereto or any change in events, conditions, circumstances or
assumptions underlying such statements, except as required by
law.
Contact: Guy
BowkerTelephone: +1 (441) 292-3645
Enstar (NASDAQ:ESGR)
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