Advertisement

Amlin to expand Marine business with acquisition

Specialist insurance and reinsurance underwriting group Amlin on Monday announced it has entered into an agreement to acquire RaetsMarine, a managing general agent ranked in the top three global providers of fixed premium P&I business.

Specialist insurance and reinsurance underwriting group Amlin on Monday announced it has entered into an agreement to acquire RaetsMarine, a managing general agent ranked in the top three global providers of fixed premium P&I business.

The group has made the $50m transaction to expand its Marine business and provide its clients with a comprehensive range of marine insurance products.

Advertisement - Article continues below

Simon Beale, the Chief Underwriting Officer for the company, said: "Amlin has ambitious growth plans for our global marine business and this acquisition represents a key part of our coherent international marine strategy. RaetsMarine is an established and well run business and we look forward to building on the opportunities it presents."

The consideration will be satisfied by $25m in cash and the rest in new Amlin shares, with up to a further $15m payable in 24 months after completion depending on RaetsMarine's hull and cargo claims ratios for the three underwriting years up to and including 2012.

RaetsMarine will be owned by Amlin Netherlands Holding and will operate as a service company as part of Amlin Europe.

The company added: "As an acknowledged leader in the fixed premium P&I market, RaetsMarine is well placed to exploit further growth and dislocation opportunities in the market. There continues to be an increase in the number of shipowners moving away from traditional sources of cover to seek fixed premium programmes.

"This growth is expected to continue with Solvency II likely to place additional capital strains on the mutual sector. In addition, Amlin will be able to leverage its existing presence in London and Singapore to attract new business to RaetsMarine."

The share price fell 1.46% to 424.90p by 09:10.

NR

Advertisement
Advertisement

Recommended

Visit/investments/investment-strategy/601044/broker-safety-your-questions-answered
Investment strategy

Broker safety – your questions answered

Cris Sholto Heaton answers more of your questions about the safety of stockbroker accounts
25 Mar 2020
Visit/investments/investment-strategy/600861/how-demographics-affects-stock-valuations
Investment strategy

How demographics affects stock valuations

New research suggests that stock and bond valuations are driven by the age of the population – at least in the US.
24 Feb 2020
Visit/investments/stocks-and-shares/600863/sirius-minerals-anglo-american-takeover
Stocks and shares

Do you own shares in Sirius Minerals? Here’s what you need to do now

Mining giant Anglo American has proposed a cash takeover of Yorkshire-based minnow Sirius Minerals. Unhappy shareholders must decide whether to accept…
20 Feb 2020
Visit/investments/stockmarkets/600634/why-investors-should-be-cautiously-bullish-for-2020
Stockmarkets

Why investors should be “cautiously bullish” for 2020

Analysts have been out in force making rosy predictions for stockmarkets in 2020, but while there is certainly a case for optimism, investors should r…
17 Jan 2020

Most Popular

Visit/investments/commodities/gold/601444/these-seven-charts-show-exactly-why-you-must-own-gold-today
Gold

These seven charts show exactly why you must own gold today

Covid-19 is accelerating many trends that were already in existence. The rising gold price is one such trend. These seven charts, says Dominic Frisby,…
3 Jun 2020
Visit/investments/stockmarkets/601460/disease-rioting-and-mass-unemployment-so-why-are-markets-soaring
Stockmarkets

Disease, rioting and mass unemployment – so why are markets soaring?

Despite some pretty strong headwinds in the last year, America’s S&P 500 stock index is close to all-time highs. John Stepek explains why markets seem…
4 Jun 2020
Visit/investments/commodities/601433/commodities-possibly-the-biggest-opportunity-in-todays-markets
Commodities

This looks like the biggest opportunity in today’s markets

With low interest rates and constant money-printing, most assets have become expensive. But one major asset class hasn’t. John Stepek explains why com…
2 Jun 2020