France's largest reinsurer SCOR Group will become the sole shareholder of its Bermuda-based subsidiary Commercial Risk Partners next Wednesday.

The French insurance giant which has customers in 100 countries dotted around the globe announced yesterday it had signed an agreement to buy the shares that were owned by Western General Insurance Limited.

Until now the SCOR Group has owned almost two thirds of Commercial Risk which also has offices in the US and Europe.

Commercial Risk president and CEO Graham Pewter said the move was "positive news''.

"One consequence of consolidation in the reinsurance industry has been the so-called flight to quality with more emphasis than ever being placed on financial strength,'' he explained.

"As a wholly owned subsidiary of SCOR we will bring the full weight of one of the world's largest reinsurers to bear in our dealings with the market, providing added impetus to our development.'' SCOR chairman and CEO Jacques Blondeau said the alternative risk transfer sector was of particular strategic importance to the Group since it had so much potential for growth.

"We have enjoyed our association with Western General and extend our thanks to them for the support that they provided to Commercial Risk during the early years of its operations,'' he said.