Bermuda-based Enstar Group, and its wholly-owned subsidiary Oceania Holdings, have confirmed the completion of the acquisition of Inter-Ocean Holdings, which was purchased for approximately $57 million.
Inter-Ocean owns two reinsurers in Bermuda and Ireland, both of which are engaged in writing international reinsurance policies. In April 2005, the board of directors of Inter-Ocean decided to have both companies cease underwriting new business and placed them into run-off. As a result, Enstar has been providing management services to Inter-Ocean for approximately 13 months.
Enstar is engaged in acquiring and managing insurance and reinsurance companies in run-off and provides management, consultancy and other services to the insurance and reinsurance industry.
The deal was funded by cash and the incurrence of approximately $26.8 million in new bank debt.