Enstar takes back control with Enhanzed Re acquisition

Nasdaq-listed run-off and legacy specialist Enstar has bolstered its equity interest in Bermuda-based reinsurer Enhanzed Re to over 75%, following the purchase of a 27.7% stake held by an affiliate of the Hillhouse Group. Enstar’s partner Allianz SE owning the remaining 24.9 per cent.

Enhanzed Re, which Enstar and Hillhouse launched in 2018, has approximately $4 billion of assets and holds life, non-life run-off, and property and casualty reinsurance reserves of roughly $3 billion. The purchase price for the deal was $217.1 million.

Enstar and Allianz have agreed to changes in the board and shareholder rights to reflect the former’s majority interest.

Dominic Silvester, Enstar’s chief executive officer, said: “Enstar’s acquisition of a controlling stake in Enhanzed Re strengthens our interest in a well-capitalised entity that provides diversified reinsurance capital, a significant investment portfolio, and a robust deal pipeline through its partnership with Allianz.”