HDI Global Specialty SE has strengthened its position in Sweden with the acquisition of alternative specialty lines managing general agent, Svedea AB.
Svedea is one of the three largest insurers of yachts, motorcycles and snowmobiles in the Swedish market, with 250,000 clients generating annual premiums of around €100 million ($111.4 million).
HDI Global Specialty SE has purchased the majority (76.50%) of the shares in Svedea AB with an option to buy the remaining shares at the end of 2021. The parties have not disclosed the purchase price.
HDI described the move as a strategic acquisition that will ensure the delivery of a positive profit contribution with favorable implications for earnings as the company expands.
“Svedea is a strong brand in its own right in Sweden and an excellent distribution platform for HDI Global Specialty SE,” commented Ralph Beutter, CEO of HDI Global Specialty SE. “Having a fully integrated MGA enables us to build on their market position, excellent client base and broad product offering.”
HDI Global Specialty was launched on Jan. 1, 2019. Svedea was founded in 2010 as an alternative special lines managing general agent in the Swedish market supported by HDI Global Specialty SE (formerly International Insurance Co. of Hannover SE), as its risk carrier.
Pär Pettersson, founder and CEO of Stockholm-based Svedea added: “To establish a new niche insurance business in Sweden, as a part of the Hannover Re group, has been a privilege. I am confident that we, together with HDI Global Specialty SE, will continue to innovate and be a strong challenger in the Swedish specialty market.”
Source: HDI Global Specialty SE
Was this article valuable?
Here are more articles you may enjoy.