Enstar Announces Reinsurance-to-Close of Neon's 2015 and Prior Years' Underwriting Liabilities
December 20 2017 - 4:46PM
YASTEST
HAMILTON, Bermuda, Dec. 20, 2017
(GLOBE NEWSWIRE) -- Enstar Group Limited (NASDAQ:ESGR) announced
today that its Lloyd's managing agency, StarStone Underwriting
Limited, has signed a letter of agreement with Neon Underwriting
Limited ("Neon") for Enstar's Syndicate 2008 to undertake a
reinsurance-to-close transaction. Syndicate 2008 will assume the
liabilities of the 2015 underwriting year of Neon's Syndicate 2468
(comprising underwriting years 2008 to 2015).
Enstar will assume net reinsurance reserves of
£417.1 million (approximately $558 million) relating to the
portfolio and gross reserves of £504.2 million (approximately
$674.5 million). Following the transaction, which is expected to
complete in the first quarter of 2018, Enstar will take
responsibility for claims handling and provide complete finality to
Neon. Completion of the transaction is subject to regulatory
approval.
Commenting on the transaction, Dominic Silvester,
Enstar's Chief Executive Officer, said:
"This transaction will build on an established
relationship with Neon, having completed a successful
reinsurance-to-close in 2016. It brings Enstar's total completed
legacy transactions in Lloyd's to 21 since inception, which
confirms our position as a leading provider of legacy solutions to
the Lloyd's market."
About Enstar
Enstar is a multi-faceted insurance group, with
over $14 billion in assets, that offers innovative capital release
solutions and specialty underwriting capabilities through its
network of group companies in Bermuda, the United States, the
United Kingdom, Continental Europe, Australia, and other
international locations. Enstar is a market leader in completing
legacy acquisitions, having acquired over 80 companies and
portfolios since its formation in 2001. Enstar's active
underwriting businesses include the StarStone group of companies,
an A- rated global specialty insurance group with multiple global
underwriting platforms, and the Atrium group of companies, which
manage and underwrite specialist insurance and reinsurance business
for Lloyd's Syndicate 609. For further information about Enstar,
see www.enstargroup.com.
Cautionary Statement
This press release contains
certain forward-looking statements within the meaning of the
Private Securities Litigation Reform Act of 1995. These statements
include statements regarding the intent, belief or current
expectations of Enstar and its management team. Investors are
cautioned that any such forward-looking statements speak only as of
the date they are made, are not guarantees of future performance
and involve risks and uncertainties, and that actual results may
differ materially from those projected in the forward-looking
statements as a result of various factors. Important risk factors
regarding Enstar can be found under the heading "Risk Factors" in
Enstar's Form 10-K for the year ended December 31, 2016 and in
Enstar's Form 10-Q for the nine months ended September 30, 2017,
and are incorporated herein by reference. Furthermore, Enstar
undertakes no obligation to update any written or oral
forward-looking statements or publicly announce any updates or
revisions to any of the forward-looking statements contained
herein, to reflect any change in its expectations with regard
thereto or any change in events, conditions, circumstances or
assumptions underlying such statements, except as required by
law.
Contact: Guy
Bowker
Telephone: +1 (441) 292-3645
This
announcement is distributed by Nasdaq Corporate Solutions on behalf
of Nasdaq Corporate Solutions clients.
The issuer of this announcement warrants that they are solely
responsible for the content, accuracy and originality of the
information contained therein.
Source: Enstar Group Limited via Globenewswire
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