Hannover Re has agreed to acquire UK holding firm Argenta Holdings – the owner of managing agent Argenta Syndicate Management, Argenta Private Capital, and a pro rata share of the Lloyd’s syndicate Argenta Syndicate 2121.
According to Argenta, Lloyd’s Syndicate 2121 has a stamp capacity for 2017 of £300 million.
The firms have chosen not to reveal the purchasing price, the transaction is expected to be completed in the third quarter, and is subject to necessary approvals.
Ulrich Wallin, Chief Executive Officer of Hannover Re, said; “For some time now we have been interested in a Lloyd’s syndicate with a view to gaining additional access to international and London Market business. We are delighted to have found an ideal partner in Argenta.”
Argenta has reportedly generated good results from its short-tail property business and specialty lines, and also its diversified lines of business; in the 2016 fiscal year Syndicate 2121 booked a gross premium of £280 million.
Hannover Re said it would be looking to retain and work together with Argenta CEO Andrew Annandale and Argenta’s experienced team.
Alasdair Locke, Argenta Chairman, said; “We are delighted to have reached agreement to become part of such a strong and well-respected reinsurance group.
“Hannover Re has been a valued business partner of Syndicate 2121 for many years, both as a reinsurer and capital provider and we believe that this transaction is in the best interests of Argenta, its customers and its staff.”
Hannover Re said it would encourage Argenta to continue to pursue its established growth trajectory.