SiriusPoint has entered into an agreement to sell its 49% equity stake in Arcadian Risk Capital to Lee Equity Partners for a total of US$139 million, which includes a pre-close dividend.
The transaction is expected to close before the end of the first quarter of 2026, pending regulatory approvals and customary closing conditions.
Following the completion of the sale, SiriusPoint anticipates recognizing a pre-tax gain of US$25 million to US$30 million, in addition to the US$96 million gain reported in the second quarter of 2024. Arcadian generated US$17.6 million in EBITDA.
SiriusPoint has also renewed and extended its capacity agreement with Arcadian through the end of 2031.
“We continue to build on our partnership with Arcadian through the extension of our capacity agreement and are excited to support the business in its next chapter under respected industry leader John Boylan,” said Scott Egan (pictured above), chief executive officer at SiriusPoint.
This latest sell-off follows SiriusPoint’s previously announced deal involving its wholly owned supplemental health insurance program manager, ArmadaCare, which SiriusPoint agreed to sell to Ambac Financial Group for US$250 million.
The transaction, which values ArmadaCare at approximately 14x EBITDA, is expected to close in the fourth quarter of 2025, subject to regulatory approvals and customary closing conditions.
Despite the sale, SiriusPoint said that it will continue its capacity partnership with ArmadaCare through 2030.
S&P Global Ratings also recently revised its outlook on SiriusPoint and its subsidiaries to Positive from Stable, citing the company’s consistent underwriting profits and a significantly reduced risk profile.
The ratings agency affirmed SiriusPoint’s 'A-' issuer credit and financial strength ratings, noting the firm’s efforts to reduce exposure to natural catastrophe and investment risk.
In terms of leadership, SiriusPoint recently named David Turner as global head of claims, effective Oct. 7. Turner will oversee claims operations in both London and New York, bringing experience from previous roles at Fidelis and MS Amlin.
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