Goldman Sachs has confirmed the acquisition of Ariel Reinsurance's Bermuda-based insurance and reinsurance operations and the combined entity will operate under the brand name of Ariel Reinsurance.
Majority of Ariel Re’s Bermuda-based staff will continue to operate as part of Goldman Sachs Reinsurance Group (GSRG) and Ariel Re’s existing business will be reinsured by GSRG’s Lloyd’s syndicate to provide seamless transition and continuity of service to the clients.
Ariel Re chairman George Rivaz said that the company was pleased to combine its business with Goldman Sachs at a time of significant market opportunity.
Goldman Sachs Property and Casualty Reinsurance business managing director and co-head Tom Milligan said the Ariel franchise will add scale, breadth and a deep talent pool from which to better serve the company’s clients.
"Ariel Re’s deep-rooted focus on an analytical and transparent approach to taking risk fits well with our own," Milligan said.
The current transaction does not include Ariel’s credit and surety business operated through its Zurich branch office nor its Atrium Underwriting Group at Lloyds, which will continue to be owned and operated by Ariel.
Financial details of the transaction remain undisclosed, however, it is expected that the acquisition will close on 1 April 2012, subject to regulatory approvals.