Argo Group Completes Sale of Brazilian Business to Spice Private Equity

Argo Group International Holdings Ltd., the Bermuda-based underwriter of specialty insurance products, announced the completion of the sale of Argo Seguros Brasil S.A. to Spice Private Equity Ltd.

“The closing of this transaction is another definitive step as Argo evolves as a specialty insurer focused on US-based insurance risks,” said Andy Borst, interim president of Argo’s International Operations. “I wish the team in Brazil the best of luck in the future.”

The terms of the transaction, which was first announced in October 2021, were not disclosed.

In its October 2021 announcement about the deal, Spice Private Equity said it would invest US$35 million in the transaction, including the purchase of 100% of the shares of Argo Brazil, as well as an equity injection to supplement Argo Brazil’s liquidity position, according to the announcement.

Argo Brazil posted gross written premiums of approximately R$380 million (US$70 million) in 2020 and a book value of equity of R$123 million (US$24 million) as of December 2020, according to the statement from Spice PE.

Zug, Switzerland-based Spice Private Equity Ltd. is an investment company focused on global private equity investments. Its investments are mostly held by Spice Private Equity (Bermuda) Ltd. and managed by GP Advisors (Bermuda) Ltd., a wholly owned subsidiary of GP Investments, Ltd. a leading alternative investments firm.

Source: Argo International and Spice Private Equity

Topics USA