AmTrust Financial Services (AFSI) has said that its wholly-owned subsidiary has signed an agreement to acquire Sagicor Europe (SEL) and Sagicor at Lloyd’s from Sagicor Financial Corporation for approximately £56m.

Sagicor of Lloyd’s is a managing agency and owner of Lloyd’s property/casualty insurance syndicate 1206 with stamp capacity of £200m and Lloyd’s life insurance syndicate 44 with stamp capacity of £7m.

Sagicor Europe (SEL) includes a Cayman Islands domiciled reinsurance entity.

The transaction, which is subject to regulatory approvals, is expected to close in the fourth quarter of 2013.

AFSI president and CEO Barry Zyskind said that access to Lloyd’s global resources greatly expands the capabilities of the company’s insurance business.

"We believe the combined organizations’ talent, experience and commitment to underwriting discipline will enhance shareholder value," Zyskind added.

AFSI would fund the acquisition with existing working capital.