AXIS Capital Holdings Ltd. it has finalized its acquisition of Novae Group plc, which creates a $2 billion insurer in London and a top ten re/insurer at Lloyd’s, with 2016 global gross written premiums of $6 billion.
The $611.5 million cash transaction significantly advances AXIS’ strategy to be a leader in each of the specialty risk markets in which it competes, the company said in a statement.
“Additionally, Novae’s portfolio complements AXIS’ existing book of business, allowing the new entity to write new and larger lines and benefit from an expanded distribution platform,” it said.
“This is a significant acquisition and an important milestone for AXIS,” according to AXIS Capital President and CEO Albert Benchimol. “Acquiring Novae greatly adds to the scale and breadth of our international business and also underscores our commitment to London and to Lloyd’s, which continues to be the pre-eminent market for specialty risks.”
“The combination of AXIS and Novae creates a bigger, better business with a wider range of products and services, enabling us to do even more for our clients and partners,” said Novae CEO Matthew Fosh.
Leadership and Integration
As previously announced, Novae CEO Fosh will become AXIS Capital’s executive chair, Europe, and will report to Benchimol.
Novae will adopt the AXIS brand and its insurance business will be merged into AXIS’ international insurance division, led by its CEO, Mark Gregory, who reports to Pete Wilson, CEO of AXIS Insurance.
Alistair Robson, currently chief underwriting officer at AXIS Insurance International, will become chief underwriting officer, P&C, in the combined organization, and Robert Forster, currently chief underwriting officer at Novae, will be chief underwriting officer, Specialty Lines.
Rory MacGregor, currently executive vice president and underwriting manager, Singapore, for AXIS Insurance, will hold the role of head of Regional Hubs and Distribution.
John Isachsen, currently senior vice president, Claims, AXIS Insurance International, and Dax Gulmohamed, currently head of Professional Lines, AXIS Insurance International, will remain in these roles.
Novae’s reinsurance business will be merged into AXIS Re and will form the core of AXIS’ London reinsurance business, led by Richard Milner, president and chief underwriting officer, AXIS Re London and APAC.
Source: AXIS Capital