Allied World Assurance Company Holdings Ltd. announced yesterday that it has completed its acquisition of US-based specialty insurer Darwin Professional Underwriters, Inc.

Based in Farmington, Connecticut, Darwin will become part of Allied World's US operations.

Scott Carmilani, president and chief executive officer of Allied World, said: "This is a great day for Allied World and our employees. The completion of the Darwin acquisition is an important strategic initiative for the company that increases our specialty casualty focus in the US, and significantly expands our access to the US primary healthcare and E&O (errors and omissions) markets, which are target markets for Allied World. We enthusiastically welcome the Darwin team onboard."

Jack Sennott, Darwin's chief operating officer, said: "The Darwin team is very proud of the franchise we have built over the last five-and-a-half years and is excited about our future as a key component of Allied World. Becoming part of Allied World's global franchise benefits all of Darwin's stakeholders, and we are now ready to get to work building out Allied World's primary specialty franchise in the US."

The acquisition of Darwin was accomplished through the merger of a subsidiary of Allied World, Allied World Merger Company, with and into Darwin, with Darwin as the surviving corporation. Allied World paid $32.00 in cash per share for all of Darwin's outstanding common stock. The total consideration paid was approximately $550 million.