Shareholders approve Third Point Re-Sirius merger
The planned merger between Bermudian reinsurers Third Point Re and Sirius Group has moved a step closer after shareholders of both companies approved the deal.
Special general meetings of both sets of shareholders were held yesterday with a majority voting in favour of all proposals required to complete the combination.
Plans for the merger, to create a new $3.3 billion reinsurer called SiriusPoint, to be led by Siddhartha Sankaran, were first announced in August.
Dan Malloy, Third Point Re's CEO, who will be a senior underwriting executive with the new company, said: “We are very pleased that shareholders have approved the merger, the associated Dan Loeb equity issuance, and seven of eight of the proposed byelaw changes.
“These approvals keep us on track to close the transaction in line with the previously announced target of the first quarter of 2021."
Third Point Re shareholders approved a number of proposals relating to the transaction, including:
• Issuance of Third Point Re common shares to Sirius Group shareholders in connection with the closing of the transaction
• Issuance of Third Point Re common shares to Daniel Loeb, the founder and chief executive of hedge fund Third Point, pursuant to an equity commitment letter
• Amendments to Third Point Re's byelaws
• Change of Third Point Re's name to SiriusPoint Ltd on completion of the transaction.
Third Point Re stated: “The only proposal that Third Point Re shareholders did not approve related to amending the byelaws to remove the requirement that certain historical investors consent to amendments to the byelaws that have a material adverse effect on that investor.
“While this proposal received an affirmative vote from a majority of all outstanding Third Point Re shares, it did not meet the required threshold of 66.67 per cent of all outstanding Third Point Re shares. The non-approval of this proposal will not impact the merger with Sirius Group or have an impact on the business.”