Transaction to close in Q1
Catalina Holdings, a buyer of run-off companies, has agreed to acquire Swiss reinsurer Glacier Re, which went into run-off last year. The transaction is expected to complete in the first quarter of 2011.
“Glacier Re fits our acquisition profile well and adds significantly to our existing business,” said Catalina chief executive Chris Fagan in a statement. “We continue to be very acquisitive and are seeing an increased flow of run-off acquisition opportunities.”
Glacier Re was placed into run-off in August 2010 after a strategic review of alternatives following the sale of Glacier insurance to Torus Insurance in May of the same year. The decision was widely thought to be driven by the desire of its backers, HBK Investments and Soros Fund Management, to withdraw from the reinsurance business.
Bermudian reinsurer Endurance bought the renewal rights to some of Glacier Re’s business in September last year.