SiriusPoint shareholder enters receivership
A Singapore-based investment company that owns one-third of specialty re/insurer SiriusPoint has been taken into private receivership by its lenders.
However, SiriusPoint said the move is not expected to have any effect on the re/insurer’s ongoing business or its ratings.
CMIG International Holding is the parent company of CM Bermuda, which is a 33% shareholder of SiriusPoint with 9.9% voting rights. CMIG in turn is the international investment arm of China Mingsheng.
CMIG bought Sirius International holdings in 2016 and took it public in 2018. Sirius later merged with Third Point Re to form SiriusPoint. In 2019, CMIG undertook a “strategic transformation” and began selling assets which were not aligned with its strategic direction, according to news reports.
Scott Egan, CEO, SiriusPoint, said: “The news of CMIH being taken into private receivership is a matter between its shareholders and lenders, and has no impact on the ongoing progress or day-to-day running of our business. Our focus at SiriusPoint remains on simplifying our business, reducing volatility and ultimately, continuing to build profitability.
“S&P Global Ratings has informed us that this development is a neutral factor to its ratings on our business and subsidiaries, and is unlikely to affect its assessment of SiriusPoint’s business position or financial strength.”
S&P Global Ratings revised SiriusPoint’s ratings outlook from ‘Negative’ to ‘Stable’ on November 9, 2023, reflecting its “expectation that SiriusPoint will continue to post strong and improving underwriting results in 2023-2025.”
The appointed receiver of CMIG is the audit, accounting and tax firm, EisnerAmper who will be tasked with assessing relevant assets and determining future restructuring plans.
