Skuld, the Oslo, Norway-based marine insurance provider, announced it has signed a letter of intent to purchase SMA/Gerling Norway.
The transaction includes the acquisition of the renewal rights of the hull & machinery book of business written by Gerling Norway, owned by HDI Global SE. (This business covers 6,000 vessels paying around US$40 million in premium.)
Skuld also is acquiring the management companies Gerling Norway and Scandinavian Marine Agency (SMA), which is partly owned by HDI (majority owner) and the employees of Gerling Norway, Skuld explained.
Any successful renewals of the hull & machinery book would be insured with Skuld’s own corporate paper and operate separately from Skuld’s Syndicate 1897 at Lloyd’s. Skuld 1897 will continue its strategy as before and will not be affected by the acquisition of SMA/Gerling Norway.
SMA/Gerling Norway will continue to be run by Tron Nummedal and his team of 19, said Skuld in a statement.
Further details of the deal, which remains subject to completion and regulatory approval, will be announced later in the year, Skuld said.
“This is a very exciting deal for Skuld, and is very much in line with our strategy of diversification. Tron and his team are highly regarded in the shipping market and we are proud to have him on board,” said Ståle Hansen, Skuld president and CEO.
“The most important thing that we are committed to is ensuring that brokers and policyholders experience no downgrade in service: it is simply a change of ownership and we are confident that in Skuld they will enjoy the service and competence that our existing partners and clients rely on,” Hansen added.
“I’m very pleased that SMA/Gerling Norway can announce its intended acquisition by Skuld,” commented Nummedal.
“For me, my staff and our clients, it was important that we found a partner that shares our commitment to the quality of our underwriting operations, takes pride in its members, and importantly, is dedicated to the care of clients,” Nummedal added. “I’m truly excited about the next step for my team and our business as we come together under the Skuld banner.”
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