Enstar strikes £840m legacy reinsurance deal with AXIS-Novae

Bermuda-based Enstar Group, through its Lloyd’s managing agency StarStone Underwriting, has finalised a reinsurance-to-close transaction with AXIS Managing Agency for Novae's £840 million legacy business portfolio, according to a Jan. 29 press release.

The transaction provides AXIS Capital with finality on the legacy business underwritten by Novae Group in 2015 and prior years. AXIS acquired the Novae Group in July 2017 for £478 million.

Enstar's Syndicate 2008 will assume net reinsurance reserves of approximately £600 million (approximately $811 million) relating to the portfolio and gross reserves of approximately £840 million (approximately $1.14 billion) effective Jan. 1, 2018.

Dominic Silvester, Enstar's CEO, said: “As one of several reinsurance-to-close transactions undertaken by Enstar recently - one of the largest transactions of its type in recent years - the Novae deal underlines Enstar’s capability as a leading reinsurance-to-close provider.

"By working closely with the Novae and AXIS teams, we were able to complete this significant transaction, highlighting our ability to efficiently enable our partners to restructure their liabilities, improve their capital position and strengthen their businesses.”

Albert Benchimol, president and CEO of AXIS, commented: "This transaction provides AXIS Capital with finality on legacy Novae business underwritten in 2015 and prior years and positions the Company to focus on advancing leadership positions in our targeted specialty risk markets.”

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