Hong Kong/St. Maarten,- Peak Reinsurance Company Limited (“Peak Re”), the Hong Kong based global reinsurer, and NAGICO Holdings Limited (“NAGICO”), the leading Caribbean insurance group, are pleased to announce today that Peak Re has completed its strategic investment of a 50% stake in NAGICO.
Following its announcement in July last year, the transaction has received all the necessary regulatory and shareholders approvals.
This strategic investment provides Peak Re with attractive growth prospects in the Caribbean region and is in line with the reinsurer’s strategy to diversify its portfolio globally. The acquisition also ties in with Peak Re shareholder International Finance Corporation’s (IFC) strategy, which is committed to strengthening insurance industry development in emerging and developing countries and regions such as the Caribbean.
At the same time, this investment provides NAGICO with attractive new growth opportunities throughout the Caribbean, adds financial strength which further solidifies and increases its underwriting capacity, and also provides additional value to its brand as one of strongest insurers throughout the Caribbean.
Franz Josef Hahn, Chief Executive Officer of Peak Re, commented: “We are delighted that all regulatory approvals are now in place and that NAGICO can play a significant part in Peak Re’s strategy moving forward. NAGICO is particularly well-suited for spreading our portfolio risk as its strong focus on the Caribbean provides us with broad access to a region to which we have had little exposure to date. I am confident that this acquisition will offer mutual benefits to both Peak Re and NAGICO, as well as our clients.”
“We see this as a great security for NAGICO’s clients, as it is a powerful partnership with a strongly capitalised international reinsurer. We look forward to Peak Re’s contribution to NAGICO and our clients through effective reinsurance and stronger investment and asset management,” added Imran McSood Amjad, Chairman of the NAGICO Group. “NAGICO is well known for its outstanding service to clients and this is something echoed in Peak Re’s profile. It will be a win-win partnership for everyone.”