R&Q Re Ltd has signed an agreement to acquire a Vermont Bermuda-domiciled captive insurance company

  • November 30, 2020 05:00 PM GMT
  • Kunal Sawhney
    CEO Kunal Sawhney
    2207 Posts

    Kunal Sawhney is founder & CEO at Kalkine and is a richly experienced and accomplished financial professional with a wealth of knowledge in the Australian Equities Market. Kunal obtained a Master of Business Administration degree from University of T...

R&Q Re Ltd has signed an agreement to acquire a Vermont Bermuda-domiciled captive insurance company

Summary

  • This is the third acquisition of a captive insurance company by R&Q this year, whose clients are spread across the North America
  • However, the deal is subject to a regulatory approval
  • So far this year, the company has entered into several M&As across the Europe and the US

 

In continuation of its strategy of acquiring smaller insurance businesses across the UK, the EU, and the US, R&Q Re announced the acquisition of a Vermont Bermuda-domiciled captive insurance company. This announcement is the third similar one in the series this year, out of 13 M&A deals completed so far.

R&Q Re is a wholly-owned subsidiary of Randall & Quilter Investment Holdings Ltd. R&Q provides services for legacy insurance and program management.

The prior deals

Prior to this deal, the company had had merged its subsidiary, Sandell Re Ltd. (“Sandell”), with Tradesman Program Managers LLC in September.

Earlier, in August this year, the company acquired The World Marine General Insurance Company Plc. In the same month it also took over the Inceptum Insurance Company Limited which was incorporated in England & Wales. August also saw the firm grabbing a 35 per cent stake in the New York based managing general agent – the Tradesman Program Managers LLC.

In June, R&O acquired the NationsBuilders Insurance Company from Washington DC, a wholly-owned subsidiary of NationsBuilders Insurance Services.

Overall, since 2009, the company has completed more than hundred merger and acquisition agreements across 35 regulatory jurisdictions across 18 different geographies. Out of these, 16 transactions were made in 2019.

The company has a total of 24 non-life insurance subsidiaries under its umbrella. It also operates through 8 consolidated vehicle units across Malta, Guernsey, The UK, The Isle of man, Oklahoma, and Bermuda. 

Financial performance

The company had come out with its H1 results on 14 October. It’s pre-tax operating profit of the company for the period stood at £10.4 million, up from £8.0 million reported by the company for H1 2019, registering a growth of 30 per cent.

The pre tax profit of the company for the period stood at £0.6 million compared to £33.1 million reported for H1 2019, which is a drop of 98.2 per cent. The Investment Portfolio Book Yield of the company for the period stood at 1.8 per cent (H1 2019: 2.2 per cent).

The earnings per share of the company for the period sharply plummeted to a value of 0.4 pence (H1 2019: 19.2 pence).

The cash and investments in the books of the company as on 30 June stood at £771.8 million (end of H1 2019: £737.0 million). The NAV per share of the company was noted to be 151.5 pence on 30 June (end of H1 2019: 142.7 pence).

The company has also announced an interim distribution of 3.8 pence per share.

 


Disclaimer
The website https://kalkinemedia.com/uk is a service of Kalkine Media Ltd (Kalkine Media), Company Number 12643132. The principal purpose of the content on this website is to provide factual information only and does not contain or imply any recommendation or opinion intended to influence your financial decisions and must not be relied upon by you as such. Some of the content on this website may be sponsored/non-sponsored, as applicable, but is NOT a solicitation or recommendation to buy, sell or hold the stock of the company (or companies) or engage in any investment activity under discussion. We are neither licensed nor qualified to provide investment advice through this platform. In providing you with the content on this website, we have not considered your objectives, financial situation or needs. You should make your own enquiries and obtain your own independent advice prior to making any financial decisions.
Some of the images that may be used on this website are copyright to their respective owner(s). Kalkine Media does not claim ownership of any of the pictures displayed on this website unless stated otherwise. The images that may be used on this website are taken from various sources on the web and are believed to be in public domain. We have used reasonable efforts to accredit the source (public domain/CC0 status) to where it was found and indicated it below the image. The information provided on the website is in good faith, however Kalkine Media does not make any representation or warranty regarding the content, accuracy, or use of the content on the website.

 

   
We use cookies to ensure that we give you the best experience on our website. If you continue to use this site we will assume that you are happy with it. OK