Fleming Re Holdings, a Bermuda-based class 3A insurance company, has acquired Sinclair Insurance Company (Sinclair), a Bermuda domiciled captive insurance company, subject to regulatory approval.
Sinclair was utilised to provide reinsurance to the primary insurers of certain casualty risks of affiliated companies.
The acquisition provides the shareholders of Sinclair with an exit solution allowing full legal finality, elimination of operating expenses, and a release of capital.
Working closely with the third party administrators and front companies, Fleming Re said it will continue to provide the same quality care and coverage.
Fleming Re CEO Eric Haller stated: “This transaction involves a captive with more complexity as the program historically underwent several commutations and novations. Fleming Re was able to achieve the client’s goals with a transaction that was mutually beneficial.”
Haller continued: “It was a pleasure working alongside AON, who managed Sinclair, to bring about the successful close of this transaction. Fleming Re has a robust pipeline and several transactions that will be closing in the coming months”.
Ciaran McCabe, vice president Aon Insurance Managers (Bermuda), added: “There is a vibrant legacy/run-off market in Bermuda and we have developed a comprehensive suite of finality solutions for our clients. In this instance, we worked extensively with our client, in collaboration with Fleming Re, to deliver a captive sale solution that provided legal finality and enabled the return of excess capital to its shareholders.”