Randall & Quilter Investment Holdings Ltd has agreed a deal worth at least $25 million to purchase Bermudian reinsurer Sandell Re.

London-listed R&Q, which is headquartered in Bermuda, said its subsidiary Randall & Quilter II Holdings Ltd had signed an agreement to acquire Sandell Holdings Ltd, parent company of Sandell Re, a Class 3A segregated account company that was incorporated in Bermuda in 2014 to write general business insurance and reinsurance.

Legacy acquirer R&Q said residual liabilities comprise primarily of contractor’s liability exposures arising in the US. Sandell Re had net technical reserves of $48.3 million as at December 31, 2018.

The deal is subject to approval by regulator the Bermuda Monetary Authority and cash consideration payable at closing by R&Q is $25 million, “with further amounts payable subject to certain conditions being met”.

Sandell Re’s net assets were $40.8 million as of the end of last year. Sandell Holdings recorded a loss of $2.7 million last year.

Ken Randall, executive chairman of R&Q, said: “This is another sizeable acquisition for R&Q following on from our recent completion of the Global Re deal.

“R&Q takes pride in providing finality for owners and we expect to announce a number of additional acquisitions during the rest of this year.”