Brit Insurance Holdings B.V. : Disposal

 
TIDM32OW 
 
Brit Insurance Holdings BV 
PRESS RELEASE 
FOR IMMEDIATE RELEASE 
 
18 June, 2012 
 
                      brit GROUP COMPLETES transformation 
               with sale of Brit Insurance limited to riverstone 
 
Brit Group today announces that it has agreed the sale of Brit Insurance Limited 
(BIL) its FSA regulated insurance company, to RiverStone Group. 
 
With  the sale of  BIL, Brit Group  is now positioned  to focus on its strategic 
objective  of being a global speciality  (re)insurer underwriting on its Lloyd's 
platform, as Brit Global Specialty. 
 
The  transaction, which will require customary regulatory approvals, is expected 
to complete in the fourth quarter of 2012.  As a result of the transaction, Brit 
Group  will  retain  the  liabilities  and  claims handling for certain business 
currently within BIL which relate to the Group's ongoing core business now being 
written into Brit's Lloyd's syndicate 2987. 
 
For  the period to  completion of this  transaction, Brit Group  is committed to 
maintaining  capital  levels  in  BIL  equivalent  to  those  held prior to this 
announcement,  which  support  the  rating  of   A-   from A.M. Best and  A from 
Fitch.   As  stated  in  previous  communications  Brit  Group's intention is to 
underwrite all current and future business into its Lloyd's syndicate 2987 which 
benefits  from Lloyd's  A rating  from A.M.  Best and  A+ rating  from Fitch and 
Standard & Poors. 
 
Mark Cloutier, Group CEO, Brit Insurance, said: 
 
"The  sale of BIL is  a significant milestone in  our journey to restructure our 
capital  base and to establish a leading  position as a focused global specialty 
underwriter.   We have undertaken a significant reorganisation of the group over 
the  last year, and following the transfer of Brit's UK regional business to QBE 
in  April;  this  transaction  allows  us  to  focus  on growing our core global 
specialty business through our Lloyd's platform, as Brit Global Specialty. 
 
Furthermore,  we  are  pleased  with  the  outcome  of our restructuring efforts 
whereby  through the combination of this transaction and the earlier QBE deal we 
have realised a meaningful premium to book value for BIL and our UK Division. 
 
RiverStone, a member of the Fairfax group have built a strong franchise and have 
an  excellent  reputation  for  managing  the run-off of (re)insurance companies 
responsibly,  so  I  am  confident  that  this  is the right home for the legacy 
liabilities of the UK business." 
 
ENDS 
 
For further information, please contact 
 
Mark   Cloutier,   Chief   Executive  Officer,  Brit  Insurance          +44 (0) 
20 7984 8500 
Tom  Burns / James  Olley, Brunswick                                        +44 
(0) 20 7404 5959 
 
 
About Brit Insurance 
 
 
Brit Insurance is an international general insurance and reinsurance group 
specialising in commercial insurance. The Group writes a diverse portfolio of 
insurance and reinsurance, offering worldwide protection. The scope is wide- 
ranging: from small and medium sized traders to the largest multinational 
corporations. Our distribution model is centred on brokers and intermediaries. 
Brit Global Specialty accesses our market leading Lloyd's of London Syndicate, 
Brit 2987. 
 
www.britinsurance.com 
 
 
 
 
 
This announcement is distributed by Thomson Reuters on behalf of 
Thomson Reuters clients. The owner of this announcement warrants that: 
(i) the releases contained herein are protected by copyright and 
    other applicable laws; and 
(ii) they are solely responsible for the content, accuracy and 
     originality of the information contained therein. 
 
Source: Brit Insurance Holdings B.V. via Thomson Reuters ONE 
[HUG#1620119]