ANV Holdings BV, the Dutch-headquartered specialty insurance business founded by CEO R. Matthew Fairfield, and Ryan Specialty Group, LLC announced that they have entered into an agreement to combine their Lloyd’s managing agency operations, ANV Syndicate Management Limited (ASML) and Jubilee Managing Agency Limited.
The parties expect that the transaction will be completed in the fourth quarter of 2013, following confirmation of customary closing conditions and regulatory approvals.
The announcement said: “Upon completion of the transaction ANV will hold 80 percent of the ownership in ASML and RSG will own the remaining 20 percent. Other terms of the transaction were not disclosed. The newly combined operations will manage ANV Syndicate 1861 and Jubilee Syndicates 5820 and 779. ASML will also continue to manage Apollo’s Syndicate 1969.
“This transaction will create a single, stronger, more efficient platform from which to build out the complementary underwriting business of the ANV and Jubilee syndicates. With managed capacity of over £400 million [$636 million], the consolidated business will benefit from greater scale, as well as diversification through a broader range of product lines, all of which will improve its value proposition to brokers, clients, and capital providers. This transaction between ANV and RSG brings together two of the most dynamic and respected insurance businesses launched in recent years.”
Fairfield explained that “Lloyd’s and the London market are where some of the best underwriting teams work and help lead the world’s insurance industry. As a firm that sees strong underwriting as the top priority for both our growth and profitability, we could not be happier than to be investing further into Lloyd’s.
“We are very fortunate to have the opportunity to work with such high quality people that RSG has committed to Jubilee. With this step we continue to build a strong foundation that serves all stakeholders for many years to come.”
Patrick G. Ryan, Chairman and CEO of RSG, commented: “There is a strong strategic fit between ASML and Jubilee, in terms of both their complementary underwriting classes and the strengths of their respective managing agency operations. RSG remains highly committed to Lloyd’s and this transaction allows us to develop our strategy for underwriting at Lloyd’s from a position of enhanced scale.”