Randall & Quilter Investment Holdings (R&Q) has agreed to purchase the entire issued share capital of Sandell Holdings and its subsidiary, Sandell Re.
Ken Randall, executive chairman of R&Q, said the company was delighted to have agreed terms to acquire SHL.
He added: “This is another sizeable acquisition for R&Q following on from our recent completion of the Global Re deal. R&Q takes pride in providing finality for owners and we expect to announce a number of additional acquisitions during the rest of this year.”
R&Q acquired Global US Holdings in 2018.
The residual liabilities comprise primarily of contractor’s liability exposures are rising in the US. Sandell has recorded net technical reserves of $48.3 million as at 31 December 2018.
The cash consideration payable at closing by R&Q is $25 million with further amounts payable subject to certain conditions being met.
This represents a discount to the company’s net assets which, at 31 December 2018, were $40.8 million. In the year to 31 December, 2018 SHL recorded a loss of $2.7 million.
R&Q has also agreed to terminate the joint venture with Phoenix Asset Management Partners, which was announced on 25 November 2014, in order to acquire (re)insurance debt insolvent estates.
