Validus Holdings Ltd., the Bermuda- based reinsurer, is near an agreement to acquire specialty insurer Western World Insurance Group, people familiar with the matter said.
Validus could announce a deal valuing Western World at more than $600 million later this month, one of the people said, asking not to be identified because the matter isn’t public.
Western World, based in Franklin Lakes, New Jersey, provides commercial property, commercial auto, and liability insurance, according to its website. The deal would give Validus a U.S. sales platform, one of the people said.
Validus failed in a 2011 attempt to acquire Transatlantic Holdings Inc., a rival insurer that was sold to Alleghany Corp. for $3.7 billion. The company acquired Flagstone Reinsurance Holdings SA for about $623 million in a 2012 cash and stock deal.
A spokesman for Validus declined to comment. Officials at Western World didn’t immediately return phone calls seeking comment.
Validus shares have declined more than 6 percent this year, giving it a market value of about $3.4 billion.
Insurance Insider reported earlier this month that Validus had emerged as a frontrunner in a sale process for Western World.
Was this article valuable?
Here are more articles you may enjoy.
Lemonade Posts $43M Loss for Q2 as it Continues to Grow Customer Base 
Why El Niño’s Promise of Quieter Hurricane Season May Not Be Good News for Insurers 
After 55 Years in Florida Insurance, Tom Lynch Reflects on Agencies, Changes Needed 
Great American Escapes Coverage for Grocery’s Opioid Litigation Settlement 
