HAMILTON, Bermuda, June 3, 2019 /PRNewswire/ -- White Mountains
Insurance Group, Ltd. (NYSE: WTM) ("White Mountains") announced
today that it has acquired a minority equity stake in Elementum
Advisors, LLC ("Elementum"), an SEC-registered investment advisor
focused on managing investment portfolios exposed to natural
catastrophe event risk. The terms were not disclosed.
Since its launch in December 2009,
Elementum has grown to become a leading alternative investment
management firm. Elementum manages portfolios across a range of
liquidity and risk/return profiles, including catastrophe bonds and
collateralized reinsurance investments. It is the third largest
independent manager of insurance-linked securities ("ILS") and
currently has over $4 billion of
assets under management.
"We are thrilled by White Mountains' investment in Elementum,"
said Tony Rettino and John DeCaro, Founding Principals at Elementum.
"We believe it will enable us to continue to provide high quality
investment management services to our investors and fortify our
business operations and franchise."
Manning Rountree, Chief Executive Officer of White Mountains,
said, "We are delighted to make this investment in Elementum. Tony
and John have built a quality business with a strong track record.
We look forward to their continued success."
White Mountains will also invest $50
million across Elementum's funds. Elementum's principals
continue to own a significant majority of Elementum and will
control the operation of the business following this
transaction.
Cravath, Swaine & Moore LLP provided legal advice to White
Mountains. Kirkland & Ellis LLP acted as legal advisor and
TigerRisk Capital Markets & Advisory as financial advisor to
Elementum.
ADDITIONAL INFORMATION
White Mountains is a Bermuda-domiciled financial services holding
company traded on the New York Stock Exchange and the Bermuda Stock
Exchange under the symbol WTM. Additional financial information and
other items of interest are available at the Company's web site
located at www.whitemountains.com.
Safe Harbor Statement under the Private
Securities Litigation Reform Act of 1995
This press release may contain "forward-looking statements"
within the meaning of Section 27A of the Securities Act of
1933 and Section 21E of the Securities Exchange Act of
1934." All statements, other than statements of
historical facts, included or referenced in this press release
which address activities, events or developments which White
Mountains expects or anticipates will or may occur in the future
are forward-looking statements. The words "will", "believe",
"intend", "expect", "anticipate", "project", "estimate", "predict"
and similar expressions are also intended to identify
forward-looking statements. These forward-looking statements
include, among others, statements with respect to White
Mountains's:
- change in adjusted book value per share or return on
equity;
- business strategy;
- financial and operating targets or plans;
- incurred loss and loss adjustment expenses and the adequacy
of its loss and loss adjustment expense reserves;
- projections of revenues, income (or loss), earnings (or
loss) per share, dividends, market share or other financial
forecasts;
- expansion and growth of its business and operations;
and
- future capital expenditures.
These statements are based on certain assumptions and
analyses made by White Mountains in light of its experience and
perception of historical trends, current conditions and expected
future developments, as well as other factors believed to be
appropriate in the circumstances. However, whether actual results
and developments will conform to its expectations and predictions
is subject to risks and uncertainties that could cause actual
results to differ materially from expectations, including:
- the risks that are described from time to time in White
Mountains's filings with the Securities and Exchange Commission,
including but not limited to White Mountains's Annual Report on
Form 10-K for the fiscal year ended December
31, 2018;
- business opportunities (or lack thereof) that may be
presented to it and pursued;
- actions taken by ratings agencies from time to time, such as
financial strength or credit ratings downgrades or placing ratings
on negative watch;
- the continued availability of capital and
financing;
- general economic, market or business conditions;
- competitive forces, including the conduct of other
insurers;
- changes in domestic or foreign laws or regulations, or their
interpretation, applicable to White Mountains, its competitors or
its customers;
- an economic downturn or other economic conditions adversely
affecting its financial position; and
- other factors, most of which are beyond White Mountains's
control.
Consequently, all of the forward-looking statements made in
this press release are qualified by these cautionary statements,
and there can be no assurance that the actual results or
developments anticipated by White Mountains will be realized or,
even if substantially realized, that they will have the expected
consequences to, or effects on, White Mountains or its business or
operations. White Mountains assumes no obligation to
publicly update any such forward-looking statements, whether as a
result of new information, future events or otherwise.
CONTACT: Todd Pozefsky
Tel: 203-458-5807
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SOURCE White Mountains Insurance Group, Ltd.