White Mountains cedes control of MGA to private equity heavyweight
Bermuda-based White Mountains Insurance Group has agreed to sell a controlling stake in its data-driven managing general agent (MGA), Bamboo, its homeowners’ insurance platform operating in California and Texas, to global private equity firm CVC Capital Partners.
The deal is expected to add approximately $300 per share to book value and generate $840 million in cash, with White Mountains retaining a 15% stake valued at $250 million.
Manning Rountree (pictured), White Mountains CEO, said: “It has been our privilege to partner with Bamboo. Its rapid growth is a testament to the value and innovation it is bringing to the homeowners' insurance market.”
“This transaction is a win-win for both White Mountains shareholders and Bamboo management and employees. We want to thank John and the entire Bamboo team for all of their hard work, and we look forward to continued partnership with them and CVC," added Liam Caffrey, president and chief financial officer of White Mountains.
Chris Delehanty, head of M&A of White Mountains, said: “We are extremely gratified by the success of Bamboo during our ownership. This is a prime example of our approach to partnering with highly talented management teams in the insurance sector and supporting them with value-added resources and expertise to drive superior results for all stakeholders. We look forward to working with our new partners at CVC to support Bamboo's next chapter of growth.”
John Chu, Bamboo CEO, commented: “We thank the White Mountains team for their valuable guidance and support throughout our partnership. They have been instrumental in making our vision a reality.
“This milestone represents the result of years of dedication and hard work by the entire Bamboo team and was only achieved with the support and confidence of our valued partners. We could not be happier with the outcome. While I’m incredibly proud of the growth we've achieved while staying true to our client-first values, we're still in the early innings. We are thrilled to welcome CVC on as our new majority capital partner alongside White Mountains as we embark on the next phase of Bamboo’s growth journey.”
Daniel Brand, partner at CVC, added: “Bamboo is a one of a kind asset, deploying differentiated technology, speed and underwriting to serve the insurance needs of homeowners in California and Texas.”
The deal is expected to close by the end of Q4 2025, pending regulatory approvals and customary conditions. Financing is not a condition for completion.
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