Following the conclusion of exploratory discussions between (re)insurer SiriusPoint and investor Daniel Loeb in relation to a prospective deal, the two have now entered into a standstill agreement.
In its announcement, SiriusPoint said: “The agreement provides that Mr Loeb will not, subject to certain limited exceptions, make a takeover or purchase proposal for the company or acquire more than 9.5% of the outstanding shares of the company or an amount of ownership requiring regulatory approval.
“Further, the agreement provides that Mr Loeb would not take any action in support of or make any proposal with respect to controlling, changing, or influencing the company’s management, business, capitalization, or corporate structure.”
Loeb was the founder of Third Point Re, the firm that merged with Sirius Group to create SiriusPoint two years ago. Last year, when he was appointed to SiriusPoint’s board, Loeb was described as the company’s largest individual shareholder.
Meanwhile SiriusPoint chief executive Scott Egan commented: “We welcome the standstill agreement as a strong signal of support for the progress we are making towards creating long-term value in our business and for our shareholders.
“Our recent half-year results were an important evidence point of our strategy and our progress so far, and we are focused on building on that momentum. I would like to take this opportunity to thank our employees, business partners, and customers for their continued support.”
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