Till Capital, a Bermuda domiciled reinsurance provider, has entered into a letter of intent to acquire Canada based insurance provider, Omega Insurance.
Said letter includes the subsidiary companies Omega General Insurance Company and Focus Group.
Till Capital is to pay an aggregate purchase price of 1.2 times book value, or approximately $15,400,000 as of March 31st, 2014, plus an amount not to exceed $3,000,000 for any transactions in process at closing, in exchange for all of Omega’s issued and outstanding shares.
Omega, which began operating in 2004, has over $40 million in assets and specialises in run-off. It is currently 77 percent owned by Integrated Partners Limited Partnership One, a division of Integrated Asset Management Corp. of Toronto.
Till Capital chairman and CEO, William Sheriff, says: “We are enthusiastic about this accretive transaction which adds the portfolio of Omega’s existing policies and management expertise.
Sheriff adds: “The transaction provides us with enhanced capacity to support our future reinsurance operations while continuing to provide outsourced services for foreign insurance carriers in Canada. I look forward to working with Phil Cook who will lead the expansion of Till’s insurance activities. His decades of experience along with his established staff will be valuable additions to our team.”
Phil Cook, CEO of Omega, concludes: "We look forward to working with Till Capital as we enter the next phase of Omega's development. Till's international footprint, along with a proven track record of successful investment strategies, will enable our combined organisations to achieve our corporate objectives while continuing to serve the needs of our policyholders and other stakeholders."
Till Capital, Omega Insurance, M&A, acquisition, William Sheriff, Phil Cook