AM Best has removed Ironshore’s rating from under review with negative implications and affirmed the financial strength ratings (FSR) of A (Excellent) for Ironshore and its subsidiaries. The ratings were assigned a negative outlook.
The rating and negative outlook reflects AM Best’s position on the effect of the ownership of Ironshore by Fosun International.
AM Best had noted that an initial public offering (IPO) of Ironshore “is part of a strategy that could sufficiently insulate Ironshore from potential issues that Fosun may encounter.”
It further noted that, “the IPO will enhance the previous actions Ironshore has already taken to strengthen its corporate governance structure.”
In March 2016, Ironshore had said that Fosun was considering pursuing an IPO of Ironshore.
On June 23, Fosun had submitted an application to seek the approval of the Hong Kong Stock Exchange for the proposed spin-off of Ironshore.
AM Best, Ratings, Ironshore, Bermuda, North America, Insurance