A.M. Best Co. commented Tuesday that the “A-minus” financial strength rating of and issuer credit rating of “a-” of S.A.C. Re, Ltd. are unchanged and the ratings remain under review with negative implications.
The status is unchanged until the anticipated closing of Hamilton Insurance Group, Ltd.’s (a Bermuda holding company) acquisition of SAC Re.
A.M. Best recognizes that signing of the definitive agreement is a positive development for SAC Re, and should the transaction close as expected it will fully resolve the reputational risks previously identified.
However, A.M. Best still needs to complete its evaluation of the new business plans as well as the new investment strategy. The transaction is expected to close prior to Dec. 31, 2013, subject to Bermuda Monetary Authority approval and other closing conditions.
Source: A.M. Best