ABIR congratulates RenRe on purchase of Validus Re
The Association of Bermuda Insurers and Reinsurers has welcomed the completion of RenaissanceRe’s acquisition of Validus Re and its subsidiaries from American International Group.
ABIR member RenaissanceRe becomes the fifth-largest property and casualty reinsurer in the world after the acquisition of Validus, which was one of the startups launched in Bermuda after the heavy insured losses of the 1992 hurricane season.
“This is truly a landmark acquisition, both for RenaissanceRe and for Bermuda,” said John Huff, president & chief executive officer of ABIR. “The combination of two Bermuda-born companies to create a top-five, diversified global reinsurer speaks volumes about the Bermuda market’s growth, evolution and continuing relevance.
“ABIR congratulates RenaissanceRe on this significant milestone. Coming in a year when both RenaissanceRe and ABIR are celebrating their 30th anniversaries, this deal presents compelling evidence that Bermuda remains the best place in the world from which to run a global re/insurance company.
“Bermuda’s internationally recognised regulator, world-leading talent base and culture of innovation drive the market’s leadership in finding solutions to large and complex risks such as climate change and cyber.
“In these times of uncertainty and rapid change, Bermuda has never been more valuable to the world.”
RenaissanceRe last week announced that it had completed its purchase of AIG's treaty reinsurance business for more than $3.5 billion.
RenRe and AIG announced the sale of Validus Re, which includes Validus Reinsurance and its consolidated subsidiaries, AlphaCat Managers and all renewal rights to the Assumed Reinsurance Treaty Unit of Talbot, on May 22.
AIG received total consideration of $3.3 billion in cash, including a pre-closing dividend, and approximately $275 million in RenaissanceRe common shares.