Under the terms of the agreement, Argo received $30 million at closing
Argo Group announces closing of Ariel Re sale to Pelican Ventures and J.C. Flowers. (Credit: Gerd Altmann from Pixabay)
Argo Group International Holdings Ltd. (NYSE: ARGO), an underwriter of specialty insurance products, today announced the closing of the sale of Ariel Re to Pelican Ventures and J.C. Flowers & Co.
“This is an important milestone for Argo Group as we simplify our operations – primarily as a U.S.-focused specialty insurer,” said Chief Executive Officer Kevin J. Rehnberg. “We are pleased to complete this transaction and appreciate the time and attention provided by Pelican Ventures and J.C. Flowers & Co., as well as the collaboration with our regulators.”
Under the terms of the agreement, Argo received $30 million at closing. As previously disclosed, Pelican Ventures and affiliates will capitalize the 2021 year of account, and Argo will maintain responsibility for all years 2020 and prior. The transaction will be reported in Argo Group’s fourth quarter 2020 financial results, and the impact to GAAP book value will not be material.
Source: Company Press Release