SOBC Sandell has announced the acquisition of 100% of American Safety Risk Retention Group of Vermont as of December 1st, following regulatory approval for Change of Control in Vermont Department of Financial Regulation (DFR).
SOBC Sandell said it worked closely with the Vermont DFR on the transaction.
Stephanie Mocatta, SOBC Sandell CEO, said the acquisition “builds on the recent transaction in Montana and we are very pleased to be able to provide finality to risk retention groups in these states.
SOBC Sandell has the specialist skills and understanding that enables us to purchase these groups, allowing the previous owners to exit without any future liability.
“We are actively looking at other opportunities to work with Risk Retention Groups and Captives.”
Rick Ecklord, Sandell Re, said; “we are really pleased with the growth in the group and more particularly the team’s ability to provide solutions for complex, difficult or challenging insurance situations, through the provision of innovative solutions. This acquisition consolidates SOBC Sandell’s reputation as a solution-driven company.”
SOBC Sandell, which specialises in legacy acquisitions, is in a partnership with Sandell Re, which is backed by Sandell Asset Management – a hedge fund that provides the investment strategy for the reinsurer and its associated legacy risks.
Hence the strategy represents a total-return strategy, both underwriting and investment, and the SOBC partnership enables Sandell Re to access legacy books of business that can add to its premium investment float.