NEW YORK, Sept. 13, 2017 /PRNewswire/ -- Alleghany
Corporation (NYSE: Y) today announced that its wholly-owned
subsidiary Alleghany Insurance Holdings LLC, has signed a
definitive agreement to sell Pacific Compensation Insurance Company
(PacificComp), an underwriter of workers' compensation insurance,
primarily in California, to
CopperPoint Mutual Insurance Company for $150 million of total cash consideration.
In connection with the transaction, an Alleghany subsidiary will continue to provide
adverse development reinsurance cover on PacificComp's
pre-acquisition claims. The transaction, which is subject to
customary closing conditions and regulatory review and approvals,
is expected to close at the end of the year.
Weston Hicks, President and chief
executive officer of Alleghany,
stated, "We are thrilled to have found a great home for
PacificComp's employees and policyholders. I would like to
thank Jan Frank for her leadership
and the entire PacificComp team for their efforts over the past
five years to build PacificComp into the successful California workers' compensation specialist it
is today. As part of the CopperPoint family of companies,
PacificComp will be ideally positioned to continue to grow
profitably and to capitalize on new opportunities."
Goldman Sachs served as financial advisor and Willkie Farr & Gallagher LLP and
Locke Lord LLP as legal advisors
to Alleghany.
About Alleghany Corporation
Alleghany Corporation (NYSE-Y) creates value through owning and
managing operating subsidiaries and investments, anchored by a core
position in property and casualty reinsurance and insurance.
Alleghany's property and casualty
subsidiaries include: Transatlantic Holdings, Inc., a leading
global reinsurer; RSUI Group, Inc., a national underwriter of
property and liability specialty insurance coverages; CapSpecialty,
Inc., an underwriter of commercial property, casualty and surety
insurance coverages; and Pacific Compensation Corporation, an
underwriter of workers' compensation insurance, primarily in
California. Alleghany's
subsidiary Alleghany Capital Corporation engages in and oversees
strategic investments and acquisitions.
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SOURCE Alleghany Corporation