It has been announced that the Enstar Group has entered into a definitive agreement to acquire Torus Insurance in a transaction worth $692m. This follows the recent news of Dermot O'Donohoe's appointment to Group CEO of Torus Insurance.
Enstar will issue approximately 1,901,000 ordinary voting shares and approximately 711,000 newly created non-voting preferred shares having an aggregate value of approximately $346 million to partially fund the purchase price. Enstar will also contribute approximately $69 million in cash towards the purchase price, with affiliates of Stone Point Capital LLC funding the remaining approximately $277 million through an equity co-investment.
This aquisition announcement follows the appointment of Dermot O’Donohoe to Group Chief Executive Officer of the Torus Group with immediate effect. Mr. O’Donohoe succeeded Clive Tobin, who is retiring and stepping down as an officer and director following four years of leadership.
Mr. Tobin said, “It has been a privilege to lead Torus from a start-up to the company it is today and to work with a team of such exceptional people. On joining Torus I had made it clear of my intent to step down once the company entered the next stage of its development and this is the appropriate time. I want to thank all Torus employees for their dedication and contributions to building a very special company and I wish the team every success for the future.
New CEO Dermot O'Donohoe commented on the Enstar aquisition saying, ““We are very pleased with this transaction and the opportunity to join Enstar during this exciting time, as it expands into the live insurance market. We have a high regard for both Enstar and Stone Point and are confident in our collective abilities to achieve great results as a result of this deal.
|
