Enstar gets 60% share in Torus Insurance in blockbuster deal

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Enstar Group, a management and consultancy firm specializing in insurance, announced the completion of the agreement that allows it to control management of Torus Insurance Holdings Ltd. for US $692 million.

According to the details of the agreement, Enstar is tasked to payUS $415 million to gain 60% stake and issue US $346 million in common and preferred shares to raise the money.

Stone Point Capital LCC, meanwhile, will cover the remaining $277 million. Stone Point is considered one of the largest shareholders of Enstar.

First Reserve Corp. and Corsair Capital LCC, the largest shareholders of Torus, will receive the cash and stock from Enstar while the other shareholders will all get cash.

Stone Point chair Stephen Friedman said the agreement will diversify Enstar "into an active market and enhances the opportunities available to our core legacy business."

He said Stone Point's expertise in the insurance sector will "add tremendous value" to the buyout going forward.

Tags
Insurance, Buyout

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