Enstar Group - ESGR STOCK NEWS

AXIS Capital (NYSE: AXS) and Enstar Group have entered into a loss portfolio transfer (LPT) reinsurance agreement covering AXIS's reinsurance segment business. Under the agreement, structured as a 75% ground-up quota share, AXIS will retrocede $2.3 billion of reinsurance segment reserves to Enstar, primarily from casualty portfolios related to 2021 and prior underwriting years totaling $3.1 billion at September 30th.

AXIS expects to recognize an approximate $60 million benefit from the excess of reserves ceded over the consideration over the next several years. The transaction, expected to close in the first half of 2025 subject to regulatory approvals, will be provided by Enstar's subsidiary Cavello Bay Reinsurance , which holds an S&P 'A' financial strength rating. AXIS will maintain claims control for the covered reserves.

Enstar Group (Nasdaq: ESGR) announced that its subsidiary has entered into an adverse development cover (ADC) reinsurance agreement with James River Group Holdings subsidiaries. The agreement provides $75 million of limit exceeding the existing $160 million ADC coverage from State National Insurance Company. This transaction offers additional protection against future adverse reserve development for U.S. casualty exposures in James River's Excess & Surplus Lines segment for accident years 2010-2023. Additionally, Enstar's subsidiary will invest $12.5 million in James River common stock. The deal's completion depends on regulatory approval and other closing conditions.

Enstar Group (Nasdaq: ESGR) has received shareholder approval for its proposed acquisition by Sixth Street, with Liberty Strategic Capital, J.C. Flowers & Co. , and other institutional investors participating. The transaction is expected to close in mid-2025, pending regulatory approvals and customary closing conditions. Upon completion, Enstar will become a privately-held company, delisting from public markets while continuing to operate under the Enstar name. Goldman Sachs, Ardea Partners, Barclays, and J.P. Morgan Securities are serving as financial advisors for the transaction.

Enstar Group (Nasdaq: ESGR) has declared quarterly cash dividends for its Series D and Series E preference shares. The company will pay $0.43750 per depositary share for both series, with each depositary share representing a 1/1,000th interest in the respective preference shares. Both dividends will be payable on December 1, 2024 to shareholders of record as of November 15, 2024. The Series D shares are 7.00% Fixed-to-Floating Rate Perpetual Non-Cumulative, while the Series E shares are 7.00% Perpetual Non-Cumulative.

Enstar Group (Nasdaq: ESGR) announced that its subsidiary, Cavello Bay Reinsurance, has acquired a Bermuda-based Class 3B insurer and segregated accounts company. The acquired reinsurer, which underwrote property reinsurance business from 2020 to 2023 for third-party investors, had $66 million in shareholders' equity as of July 2024. The reinsurer will merge into Cavello Bay, establishing a consolidated retrocession agreement with the fronting carrier. This marks Enstar's second transaction in the property ILS space, highlighting their expansion in the legacy solutions market.

Enstar Group (NASDAQ: ESGR) has completed a ground-up loss portfolio transfer transaction with QBE Insurance Group subsidiaries. The deal involves reinsuring a portfolio of US commercial liability and workers' compensation business from recently discontinued programs. Under the agreement, QBE ceded net reserves of approximately $376 million, while Enstar's subsidiary provided about $175 million of cover in excess of the ceded reserves. The transaction was finalized after receiving regulatory approvals and meeting closing conditions.

Enstar Group (ESGR) announces key changes to its executive leadership team. Paul Brockman, previously Group Chief Operating Officer, has been appointed as Chief Commercial Officer with immediate effect. Adrian Thornycroft will join as Chief Administrative Officer in May 2025. These appointments come as Orla Gregory, President, prepares to retire at year-end. Brockman, with over 30 years of experience, will oversee corporate development and market relations. Thornycroft, bringing extensive operational experience from companies like Brit, Lloyd's, and MS Amlin, will lead change strategy initiatives from Bermuda.

Enstar Group (NASDAQ: ESGR) has announced the completion of a previously disclosed loss portfolio transfer transaction with a subsidiary of SiriusPoint The deal involves reinsuring a $400 million portfolio of Workers' Compensation business covering underwriting years 2018 to 2023.

Key details of the transaction include:

• SiriusPoint will cede net reserves of approximately $400 million
• Enstar's subsidiary will provide about $200 million of cover in excess of the ceded reserves
• Claims management will transfer to Enstar

The transaction's completion followed the receipt of necessary regulatory approvals and the satisfaction of various closing conditions.

Enstar Group (Nasdaq: ESGR) has announced the expiration of the 35-day 'go-shop' period related to its previously announced merger agreement with Sixth Street. During this period, Enstar actively solicited alternative acquisition proposals from 34 potential parties but received no additional offers. The company has now entered the 'no-shop' period, limiting its ability to seek alternative proposals.

The transaction, valued at $5.1 billion, has been unanimously approved by Enstar's Board of Directors and is expected to close in mid-2025, subject to shareholder approval and regulatory clearances. Upon completion, Enstar will become a privately-held company. Goldman Sachs & Co. is acting as Enstar's financial advisor, while Sixth Street is being advised by Ardea Partners LP, Barclays PLC, and J.P. Morgan Securities