R&Q
-
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.
-
The executive has been in post since September 2020.
-
The R&Q share price has plummeted since the sale of the ~$1.8bn-premium fronting arm was announced 10 days ago.
-
The LPT comes less than a week after the legacy carrier agreed the sale of its program management business, Accredited.
-
Shares continued to slide in trading on Tuesday, falling by a further 31%.
-
The revised status follows the recent announcement that R&Q Insurance Holdings has agreed a sale of its Accredited program.
-
R&Q expects ongoing operating losses after the sale as transitions its legacy business to a fee-based model.
-
Halfway through a complex restructuring is not the time for a CEO (and CFO) change.
-
R&Q CEO William Spiegel will transfer to the Accredited program management business.
-
Program management arm Accredited, which is in advanced sale discussions, posted profits of $28.6mn.
-
Insurance Insider revealed yesterday that the two firms were in advanced talks over a potential transaction.
-
Goldman Sachs’ private equity arm and Atlas Merchant are no longer involved in the process, sources said.
-
It is understood that the three firms are in the late stages of the process, with a September deal targeted.
-
Jerome Lande is deputy CIO and managing partner at Scopia Capital Management.
-
The downgrade and withdrawal follows R&Q’s request to no longer participate in AM Best’s interactive rating process.
Most Recent
-
AM Best upgrades MS Re financial strength rating to A+
26 April 2024 -
Beazley’s Barnes resigns in latest energy market move
26 April 2024 -
QBE Re rebuilds in A&H with Canopius’s Brigstocke
26 April 2024