Bermuda-based property reinsurer RenaissanceRe Holdings Ltd. has agreed to acquire the assets of Agro National, a managing general underwriter of crop insurance.
The terms of the transaction were not disclosed. The transaction is also subject to “the satisfaction of conditions precedent, including receipt of applicable regulatory approvals, and is expected to be completed in the second quarter of this year,” said the bulletin.
RenRe said: “Agro National will become part of the Glencoe Group, which conducts the Individual Risk business of RenaissanceRe. Glencoe Group is a leading writer of program business through admitted and non-admitted carriers and has partnered with Agro National over the past four years to write multi-peril crop insurance policies in the Federal Crop Insurance Program.”
President and CEO Neill A. Currie described Agro as an “important partner to the Glencoe Group,” and praised the “quality of the team that is joining our organization.” He noted the acquisition would “strengthen our operating platform and provide us the means to expand the resources we commit to the agricultural marketplace, a market that presents excellent growth prospects.”
Rick Gibson, founder of Agro National, indicated that the company “is pleased to be joining forces with our trusted partner, Stonington Insurance Company a member of the Glencoe Group. The Agro team looks forward to continuing to deliver value to farmers through superior products and services and to providing solutions to manage their business risks.”
Standard & Poor’s Ratings Services announced that its ratings on RenaissanceRe – currently ‘A’ with a stable outlook – and related entities “are not affected by the company’s announcement that it will acquire Agro National LLC (not rated) in an all cash deal.”
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