Enstar Group, in conjunction with private equity firm Stone Point, has entered into a definitive agreement to acquire global specialty insurer Torus Insurance Holdings in a transaction with a total consideration of $692 million.
This acquisition marks another move towards live underwriting for Enstar, which previously focused on acquiring companies already in run-off.
This news comes in conjunction with the announcement that Enstar’s other acquisition aims—taking over Atrium Underwriting Group and Arden Reinsurance company—have been reached with further help from Stone Point. Should all the transactions go through, Enstar will acquire 60 percent of the companies and Stone Point the rest.
Newly appointed Torus group chief executive officer Dermont O’Donohoe commented: “We are very pleased with this transaction and the opportunity to join Enstar during this exciting time, as it expands into the live insurance market. We have a high regard for both Enstar and Stone Point and are confident in our collective abilities to achieve great results as a result of this deal.”
Dominic Silvester, Enstar's CEO, said: "Following the recent announcement of our agreement to acquire Atrium, we are pleased to continue our expansion into 'live' underwriting through the acquisition of Torus. Torus provides us with an opportunity to acquire a large, international A- rated group of companies that both diversifies Enstar into the active market and enhances the opportunities available to our core legacy business. In addition, we are excited to be partnering with Stone Point. We have worked with them successfully in the past and we believe their expertise in the insurance industry will add tremendous value to these acquisitions."
Charles Davis, Stone Point's CEO, added: "Stone Point is delighted to be partnering with Enstar on the Torus and Atrium transactions. Our successful relationship with Dominic Silvester and the Enstar team dates back to 2000. We have been one of the largest shareholders of Enstar for many years and have worked with Enstar's senior management on a number of acquisitions. We look forward to joining with Enstar in these investments and working with the Torus and Atrium management teams."
Enstar, Torus, M&A