DARAG acquires Guernsey reinsurance captive
DARAG Group (“DARAG” or “the Group”), a leading legacy acquirer, announced the acquisition of a Guernsey based reinsurance captive.
The sale of the captive, which has been in run-off since 2019, is part of a strategic realignment for its cedant owner, which is looking to tighten its business focus. Its key business lines are property damage, business interruption, and public and employers’ liability in the UK, areas of proven expertise for DARAG.
This is the second transaction for the Group in Guernsey, reinforcing its position in the market, as well as across Europe and North America.
Tom Booth, CEO of DARAG Group, said: “It is important for our clients to know that we can ensure their strategic goals are reached through working with us, and the completion of this deal certainly demonstrates that. Their confidence in us shows that DARAG is trusted worldwide to provide high quality, reliable legacy solutions for a wide spectrum of clients.”
The transaction is subject to regulatory approval from the Guernsey Financial Services Commission (GFSC) approval.
Piraeus Bank acquires a controlling stake in Trastor Real Estate Investment Company
Piraeus Financial Holdings announced that its subsidiary Piraeus Bank S.A. (“Piraeus Bank” or the “Bank”) has reached an agreement with WRED LLC (“WRED”), a company affiliated with Värde Partners, for the acquisition of WRED’s c.52% stake in Trastor Real Estate Investment Company S.A. (“Trastor”) (the “Transaction”).
The agreed cash consideration of the Transaction will reach approximately €98mn (€1.25 per share).
The Transaction is subject to ordinary conditions precedent including the consent of the Hellenic Financial Stability Fund.
Trastor was established in 1999, and was the first company to be granted license to operate as a Real Estate Investment Company in Greece in 2003. It is among the top players in the Greek real estate market in terms of gross asset value (c.€0.3bn) and rental revenues (c.€14mn) as at full year 2020. Trastor’s largest shareholder is WRED, which owns c.52% of the company’s shares, Piraeus Bank is the second largest shareholder with c.45% participation whilst the remainder c. 3% of shares are free floating on the Athens Stock Exchange.
The Transaction underpins Piraeus Bank’s strategy for accretive return-on-capital actions and entails the following key benefits for the Bank:
immediate enhancement of the fee generating pools of the Bank, with further upside potential,capture of the favorable dynamics that are increasingly evident in the Greek real estate market, especially in the high-growth segments of prime office and logistic spaces where Trastor is mainly focused,strengthening of Piraeus’ capabilities with one of the most effective real estate platforms in Greece, adding value to our proposition to stakeholders.The expected capital impact of the Transaction over the 30 September 2021 total capital ratio of Piraeus Financial Holdings S.A. will be practically neutral.
Completion of the Transaction will trigger a mandatory tender offer by the Bank for the remaining c.3% free floating Trastor shares in accordance with applicable takeover law provisions.
In relation to the Transaction, Mr. Christos Megalou, CEO of Piraeus Bank, stated:
“This transaction will instantly enhance our fee revenue profile and further grow our know how around the vibrant and rapidly growing real estate sector. Trastor is one of the top-performing real estate platforms in South Eastern Europe and will constitute an investment tool for Piraeus Group to capture the extensive upside that the Greek market provides. This is yet another value booster for our shareholders, in our journey to create the best-in-class bank in Greece.”
“Over the last five years we have significantly increased the size and quality of the company’s real estate portfolio, successfully acquiring more than 40 high quality assets, divesting non-core properties and upgrading existing sites,” said Tony Iannazzo, Senior Managing Director at Värde Partners. “We have had an excellent partnership with Piraeus over these years and believe the company is well-positioned to capitalize on the economic recovery as Greece emerges from the pandemic.”
ERMA FIRST acquires German marine water treatment specialists RWO
Fast growing ballast water equipment manufacturer ERMA FIRST has acquired German marine water specialist RWO GmbH.
Founded in 1975 and headquartered in Bremen, RWO provides water and wastewater treatment systems for ships, ports and offshore installations and is a market leader in bilge water separation systems. RWO’s product portfolio includes the treatment of drinking and process water, oily waters, ballast, wastewater as well as a comprehensive range of after sales spare parts and services. Over 16,000 ships have been equipped with RWO’s oil water separators since 1975.
ERMA FIRST Managing Director Konstantinos Stampedakis said:
“This is a win for ERMA FIRST and a win for RWO’s customers and staff. We have acquired a world leader in water treatment systems for the shipping industry with a strong customer base and a reputation for excellence and reliability. We ourselves have a track record of innovation with our ballast water technologies and are well known for our high-quality engineering and customer first ethos. We are committed to building on the past 46 years of RWO experience and help take the company, its products and people to the next level of international success.”
He added:
“All RWO products will continue to be made and engineered in Germany and there will be no changes to RWO’s engineering workforce or global aftersales network. Service agreements with all current customers remain unchanged.”
RWO’s product range includes systems and monitoring for:
Bilge water treatment
Sewage treatment
Desalinisation
Ballast water treatment
Process water treatment
Since its launch in 2009, ERMA FIRST has installed its ballast water treatment systems (BWTS) on more than 2,500 ships. Over the last 14 years, ERMA FIRST has set the standard for effective ballast water treatment with superior operational readiness, build quality and ease of use. ERMA FIRST is widely recognised as one of the top BWTS makers worldwide.#MA FIRST acquires German marine water treatment specialists RWO
Gallagher Acquires Australia’s Mutual Brokers
Arthur J. Gallagher & Co. (NYSE: AJG) today announced the acquisition of Canberra, Australian Capital Territory (ACT)-based Mutual Brokers Pty Ltd. Terms of the transaction were not disclosed.
Founded in 1985, Mutual Brokers is an independent broker serving a broad cross-section of commercial and small corporate clients in Canberra and the ACT. Owners Lou Pennetta and Adrian Dodd, and their team, will come under the direction of Head of Metro Branches Mark Saunderson and will relocate to join the Gallagher Canberra branch later in the year.
“Mutual Brokers is a growing, culturally aligned business that doubles our presence and expands our client capabilities in the key Canberra market,” said J. Patrick Gallagher, Jr., Chairman, President and CEO. “I am very pleased to welcome Lou, Adrian and their associates to our growing global team.”
Arthur J. Gallagher & Co., a global insurance brokerage, risk management and consulting services firm, is headquartered in Rolling Meadows, Illinois. The company has operations in 56 countries and offers client-service capabilities in more than 150 countries around the world through a network of correspondent brokers and consultants.
MS Amlin acquires International Transportation Marine Office, LLC
MS Amlin announced an agreement to acquire US Managing General Agency (MGA) International Transportation and Marine Office, LLC (ITMO) and its associated subsidiaries as part of a new strategy to provide access to high quality specialty MGAs in the US – the largest MGA market in the world. Completion of the transaction is subject to customary closing conditions, including the receipt of regulatory approvals.
Following a significant period of transformation, the acquisition demonstrates the evolution of MS Amlin’s strategic ambitions, supported by its parent MS&AD Group, building selectively on its core portfolio and balancing its catastrophe exposure by investing in the high growth US speciality MGA market. By targeting mid-size, strongly performing niche MGAs underwritten by capacity from highly rated carriers, MS Amlin will provide its clients with a broader suite of products whilst deepening distribution links in a key region.
Founded in 2001, the primary subsidiary International Transportation & Marine Agency, LLC. (ITMA) provides marine and other specialty lines of insurance. ITMA, which will write business into Syndicate 2001, specialises in light commercial trucking and offers coverage for auto physical damage and motor truck cargo products unbundled from the auto liability exposure. ITMA partners with appointed producers, at both the wholesale and retail levels, and all coverage is placed through A-Rated or better licensed insurance carriers.
Don Kaitz will retain his role as chairman of Arizona headquartered ITMA, and the business will continue to be led by Eric Kaitz, Chief Executive Officer and remain a stand-alone MGA business.
Johan Slabbert, CEO of MS Amlin Underwriting Ltd, commented: “We’re excited to be launching a new, US MGA focused strategy as we continue on our journey to create a more modern, relevant, profitable and client-focused business built on providing cover for complex risks where underwriting expertise is critical. The US speciality market represents a significant opportunity to complement our existing portfolio, balancing the current volatility of catastrophe risk by investing in quality, niche risks and broadening the product base for our clients.
“I couldn’t think of a better business to spearhead our US MGA platform. ITMA is a profitable business with a strong management team backed by a breadth of underwriting expertise and experience. Our relationship with the business extends over ten years and this acquisition will secure critical access to the US insurance market, improving links with our distributors and helping us better serve our clients. We look forward to bringing our two teams together.”
Eric Kaitz, Chief Executive Officer of ITMA, commented: “Having worked with MS Amlin for the past 10 years, we are confident that our businesses share a strong vision, rigorous underwriting discipline and a commitment to high quality client service. MS Amlin’s scale and global distribution will further enhance our growth trajectory and we look forward to joining the team and building on our success.”
Seanergy Maritime Holdings Corp. Acquires its 15th Capesize Vessel and Receives Bank Commitment Letter
Seanergy Maritime Holdings Corp. (the “Company”) (NASDAQ: SHIP) announced today that it has entered into a definitive agreement with an unaffiliated third party to purchase a modern Capesize vessel (the “Vessel”). Upon delivery of this acquisition, as well as the previously announced vessel purchases, the size of the Company’s fleet will increase to 15 Capesize vessels with an aggregate cargo capacity of approximately 2.65 million dwt.
The Vessel was built in 2012 at a reputable shipyard in Japan, has a cargo-carrying capacity of approximately 181,300 deadweight tons (“dwt”) and shall be renamed M/V Hellasship. The Vessel is expected to be delivered towards the end of April 2021, subject to the satisfaction of certain customary closing conditions. The ballast water system installation of the Vessel was completed by the current owner and, therefore, no additional costs are envisaged for the Vessel to comply with the relevant regulations. The gross purchase price of $28.6 million is expected to be funded with cash at hand or by a combination of cash at hand and proceeds from new loan facilities.
In addition, the Company received a commitment letter from a European Bank for a $15.5 million loan facility secured by two of its Capesize vessels, the M/V Goodship and the M/V Tradership. The loan will have a tenor of four years from the drawdown date and will bear interest at 4.0% plus LIBOR per annum. The loan remains subject to customary conditions precedent and execution of definitive documentation. Seanergy is also in advanced discussions with leading financial institutions for further financing transactions at competitive terms.
Stamatis Tsantanis, the Company’s Chairman & Chief Executive Officer, stated:
“We are pleased to announce the agreement to acquire our 15th Capesize vessel, which will grow our fleet by 50% within the last 9 months. The planning of all our recent acquisitions has been well-timed in light of significantly improved market conditions, which attests to our position as a leading pure-play Capesize company.
Given the prompt delivery prospects, the Company is expected to benefit from the rapidly increasing freight rates. The average of the Baltic Capesize Index currently stands at about $19,000 per day, while the Capesize forward freight contracts (“FFA”) for the second quarter and second half of 2021 are trading at above $22,000 per day on average. Based on these FFA rates, the incremental net revenue from the four recently announced acquisitions may exceed $21 million for the remainder of the year, based on their planned delivery schedule.
Moreover, the new debt financing with the competitive underlying cost, will provide additional liquidity supporting our efforts to successfully execute on our strategic goal of sustainable growth and improved shareholder returns.
The improved prospects of the Capesize market are expected to continue for the coming years and based on our expanded fleet and advantageous employment arrangements, we strongly believe that Seanergy is very well-positioned to benefit from this trend.”
Seanergy Maritime Holdings Corp. is the only pure-play Capesize ship-owner publicly listed in the US. Seanergy provides marine dry bulk transportation services through a modern fleet of Capesize vessels. Upon delivery of the new vessels, the Company’s operating fleet will consist of 15 Capesize vessels with an average age of 11.9 years and aggregate cargo carrying capacity of approximately 2,642,463 dwt.
The Company is incorporated in the Marshall Islands and has executive offices in Glyfada, Greece. The Company’s common shares trade on the Nasdaq Capital Market under the symbol “SHIP”, its Class A warrants under “SHIPW” and its Class B warrants under “SHIPZ”.
Arthur J. Gallagher & Co. Acquires Air-Sur of Florida
Arthur J. Gallagher & Co. today announced the acquisition of Ormond Beach, Fla.-based Air-Sur, Inc. Terms of the transaction were not disclosed.
Founded in 1976, Air-Sur is a retail insurance broker serving clients in the aviation and aerospace industry. Its clients include air transport operators, service companies, component manufacturers, engine/airframe overhaul and modification centers, as well as general aviation operators. Thomas K. Coughlin and his associates will continue to operate from their current location under the direction of Scott Firestone, head of Gallagher’s Southwest region retail property/casualty brokerage operations.
“The Air-Sur team has an outstanding market reputation, and deepens and expands our aerospace capabilities across Florida and the Southeast,” said J. Patrick Gallagher, Jr., Chairman, President and CEO. “We are delighted to welcome Tom and his associates to our growing, global team.”
Arthur J. Gallagher & Co., a global insurance brokerage, risk management and consulting services firm, is headquartered in Rolling Meadows, Illinois. The company has operations in 49 countries and offers client service capabilities in more than 150 countries around the world through a network of correspondent brokers and consultants.
Purmort & Martin Insurance Agency Acquires Jeff DeJongh & Associates of Florida
Sarasota, Fla.-based Purmort & Martin Insurance Agency, a locally owned insurance agency, has acquired Jeff DeJongh and Associates to further expand its presence in the region.
Located in Sarasota, Fla., Jeff DeJongh and Associates is a property and casualty insurance agency that serves Hillsborough, Manatee, Pinellas and Sarasota Counties. Jeff DeJongh, who has more than 18 years of sales and management experience in the insurance, financial services and medical and dental device professions, will join Purmort & Martin Insurance Agency as the vice president of sales.
Jeff DeJongh and Associates’ three staff members will join the 26 other sales professionals in Purmort & Martin Insurance Agency’s Sarasota office.
Purmort & Martin Insurance Agency has been a part of the local community since 1959. It employs more than 25 full-time experienced insurance professionals, specializing in personal and commercial lines, life insurance and workers compensation, among others.
NIF Group Acquires Pacific Coast E&S in California
NIF Group, and its parent company, Jencap Group, have agreed to acquire the assets of Pacific Coast E&S Insurance Services in Santa Rosa, Calif.
New York-based NIF is a program manager and wholesale broker providing independent agents and brokers a broad range of specialty insurance products from its national offices. NIF was acquired by Jencap in 2016 as a part of the Jencap umbrella of consolidating specialty insurance businesses.
PCES is an MGA and wholesale brokerage firm that provides retail brokers and agents on the West Coast and Pacific Northwest with a range of products and services in the personal and commercial property/casualty sectors
Jencap Group is a national specialty insurance distribution platform that includes managing general agencies, specialty program administrators, and transactional wholesale brokers.
Hub International Acquires Saskatchewan-Based Prince Albert Insurance Ltd.
Hub International Ltd., the Chicago-based insurance broker, announced it has acquired the assets of Prince Albert Insurance Ltd.
Terms of the transaction were not disclosed.
Located in Prince Albert, Saskatchewan, Prince Albert Insurance Ltd. is a full-service, independent insurance brokerage that provides personal, commercial, farm and specialty products insurance, which will complement and strengthen Hub’s existing capabilities.
Ron Wesolowski, vice president and director at Prince Albert Insurance Ltd., will join HUB International Manitoba Ltd. and report to Keith Jordan, president & CEO of the region.