Canopius AG has announced the signing of a definitive sale and purchase agreement that will see its Lloyd’s of London business merge with that of AmTrust at Lloyd’s, subject to regulatory approval.
The sale of AmTrust at Lloyd’s, a division of AmTrust Financial, is expected to close in the third-quarter of 2019, and will result in the establishment of a top-five Lloyd’s insurer with combined premiums of roughly £2.2 billion.
Effective January 1st, 2020, Canopius will merge its Syndicate 4444 with AmTrust Syndicate 1861, under the management of Canopius Managing Agents.
Upon the completion of the deal, AmTrust Financial Services will become a significant minority shareholder in Canopius.
Chairman of Canopius, Michael Watson, said: “I am delighted at the prospect of welcoming our talented new colleagues from AmTrust at Lloyd’s. Today’s announcement marks a transformational step in our determination to build a leading Lloyd’s franchise. The AmTrust at Lloyd’s business brings significant underwriting expertise, product diversification, and scale to the Canopius portfolio.
“Together we will broaden the product and service proposition we offer our highly-valued clients and distribution partners. Quite simply, this is a unique and exciting opportunity which places us amongst the top five businesses at Lloyd’s and we welcome AmTrust as a significant minority shareholder in Canopius.”
Barry Zyskind, AmTrust Financial Chairman and Chief Executive Officer (CEO), added: “The sale of AmTrust at Lloyd’s to Canopius is a significant step in the AmTrust Forward vision to be a leading specialty commercial P&C insurer focused on local markets and niche products where we can add significant value.
“This transaction joins AmTrust with a great partner in Canopius through our minority stake in a top-five Lloyd’s syndicate. Our Lloyd’s clientele and employees will be well served by the new, larger, Canopius operation.”
