Sompo Holdings, Inc. has reportedly received the necessary antitrust and insurance regulatory approvals required to complete its acquisition of 100% of the issued Class A ordinary shares of Aspen Insurance through a wholly owned subsidiary of Sompo International Holdings Ltd. (SIH).
In August last year, SIH agreed to acquire all outstanding Class A ordinary shares of Aspen Insurance in a $3.5 billion transaction.
The announcement prompted AM Best to place the Financial Strength Rating of Sompo Japan Insurance Inc. and its subsidiaries under review with positive implications, citing the potential for “material benefits” to the wider group’s business profile.
The transaction, which was unanimously approved by the boards of directors of both companies, is expected to close in the coming days, subject to customary closing conditions.
Sompo has said Aspen will add a well-established global insurance and reinsurance franchise with a strong underwriting culture to the group.
In particular, Aspen’s leading Lloyd’s syndicate is expected to enhance Sompo’s ability to support complex risks and expand reinsurance licensing capabilities in underserved markets worldwide.
Upon closing, Sompo said it will begin integrating Aspen’s operations and expertise to further strengthen its globally diversified property and casualty platform.
