Lifting the lid on the deal, financial terms of which were not disclosed, RenaissanceRe senior vice president Aditya Dutt stated: “We are pleased to enter into an agreement to sell the UK run-off business to AXA LM, a leading manager of legacy businesses. Divestiture of this legacy portfolio to a high-quality owner allows us to continue focusing on our core business segments.”
Subject to regulatory approval, the transaction will be made through an investment vehicle managed by AXA LM and is expected to close later this year.
Prior to being placed into run-off in 2015, RRUKL primarily wrote motor, casualty, political risk, engineering, and marine treaty business. It used to be known as Tokio Millennium Re (UK) Limited and became part of RenaissanceRe when the latter acquired Tokio Millennium Re in 2018.
“I am delighted to announce that we reached an agreement with RenaissanceRe to acquire their UK run-off business,” commented AXA LM chief executive Sylvain Villeroy du Galhau.
“We are very pleased to continue our external development with this strategic acquisition. Once we have received the approval of the regulator, this 21st acquisition will foster our position as a leading provider of legacy solutions in the market.”
RRUKL’s gross reserves as of September 30, 2019 stood at £160 million.
