R&Q

Onex has proposed an alternative sale structure, which includes R&Q’s potential liquidation.

The Canadian PE house is delaying close and seeking to renegotiate aspects of the deal.

Available net cash proceeds on closing are now down ~$100mn to $65mn-$110mn

The company is still working to get debt holder approval for the Accredited deal.

The company reiterated its commitment to consummating the Accredited sale.

The Lloyd’s legacy business has been placed up for sale, along with other units.

R&Q is still dealing with a Bermudian regulatory review, personnel turnover and a transitioning business model.

Just over half of votes cast were in favour of the $465mn sale to Onex.

The company announced in March last year that the executive was set to retire.

The regulator has also paused the redemption of the company’s $20mn Tier 2 floating-rate subordinated notes.

The company reiterated that, if the sale does not complete, R&Q “may not be able to repay its debt facilities as they become due, and R&Q would, therefore, be unable to continue as a going concern”.

The company said that the targets were dependent on ‘many factors’, including closing the Accredited sale and paying down debt.