Enstar said to plan merger of its Lloyd’s agencies
Bermuda insurer Enstar Group plans to merge two of its Lloyd's managing agencies next year, sources told a British trade publication.
Enstar, which specialises in acquiring and managing insurers and books of business that have gone into run-off (that is, having stopped writing new business) owns three managing agencies in the venerable centre of the London insurance market.
According to The Insurance Insider, Enstar plans to merge its Torus Underwriting Management Ltd and Shelbourne Syndicate Services Ltd agencies. It also owns Atrium Underwriters Ltd.
Sources told the London-based publication that Enstar was looking to take advantage of potential efficiencies offered by a merger, now that it has completed its acquisition of Torus.
As Torus is a company that continues to write new business, or a “live” underwriter, the $692 million acquisition marked a new chapter for the company.
Enstar did not respond to en e-mailed request for comment from this newspaper by press time.
Last week, Enstar, which has offices on Queen Street, announced net income of $29.6 million, or $1.77 per share, sharply higher than the $12 million, or 72 cents per share it made in the same period last year.
Operating earnings of 84 cents per share comfortably beat the 44 cents per share consensus expectation of analysts tracked by Yahoo Finance.
The company said its shareholders' equity at March 31, 2014 amounted to $1.79 billion (or $106.94 per fully diluted share), as compared to $1,75 billion (or $105.20 per fully diluted share) at the end of 2013.