Horoscope /
7 July 2014ILS

Amlin increases stake in Leadenhall reflecting market dynamics

Amlin is increasing its stake in Leadenhall Capital from 40 percent to 75 percent, as the two firms continue to cement significant synergies.

Leadenhall has been riding the wave of interest in the convergence space and it is apparent that Amlin is keen to increase its participation in the space through an enhanced relationship.

Both companies are keen to safeguard the “operational independence” of Leadenhall and ensure a continued “alignment of interest between Leadenhall’s management and their third party investors through the continuation of separate entity and remuneration structures and strengthened governance.”

Leadenhall manages more than $1.8 billion of assets in the convergence space.

Commenting on the development of its stake in Leadenhall, Charles Philipps, CEO of Amlin says:“Since its original seed investment in Leadenhall Capital Partners, Amlin has supported LCP’s strong growth to approximately $1.8 billion of assets under management as of today. During this time LCP and Amlin have developed significant synergies, which have helped to differentiate Amlin’s re/insurance client proposition from its competitors as well as strengthening LCP’s market position.”

“As alternative capital becomes an increasingly prominent feature of re/insurance markets, I expect Amlin’s increased interest in LCP to support its continued growth and further enhance co-operation and synergies between our businesses.”

John Wells chairman and Luca Albertini CEO and CIO of Leadenhall added: “We are delighted to have agreed the basis for the next stage of our development with Amlin. Our innovative joint venture has served our investor base well since 2008, combining independent capital markets skills with the power and reach of a major (re)insurer.”

“This agreement on ownership and structure for the foreseeable future will provide a stable platform for growth, while ensuring the independence of investment decision making and a strong alignment between the management team and our investors.”