Catalina Holdings (Bermuda) Ltd. has signed a definitive agreement to acquire Danielson Indemnity Company, the holding company of National American Insurance Company of California and Danielson National Insurance Company, from Covanta Holdings Corporation.
As of June 30, 2014, Danielson had total assets of $62 million, gross reserves of $39 million, and shareholder equity of $18 million. Catalina will acquire Danielson Indemnity from cash at hand. The transaction, which is expected to close in the fourth quarter this year, is subject to approval by the California Department of Insurance.
This is Catalina’s fourth transaction of 2014 and 15th since the business was established in 2005. Total assets of Catalina following this acquisition will be in excess of $3.1 billion.
“This is a small transaction for both Catalina and Covanta,” said Chris Fagan, Chairman and Chief Executive of Catalina. “It provides Covanta with a clean exit from the insurance business and adds the expertise of the team in Long Beach to Catalina’s operations in North America.”
Source: Catalina Holdings (Bermuda) Ltd.