AM Best keeps ProSight ratings unchanged after TowerBrook takeover deal
AM Best has left ratings for ProSight Specialty Group unchanged and its outlook stable following the announcement that TowerBrook and Further Global will acquire the business.
TowerBrook and Further Global confirmed on Friday last week that they would acquire ProSight in an all-cash deal worth $586mn, with former Validus executive Jonathan Ritz joining the business as CEO.
TowerBrook will have a majority stake in the business and Further will hold a minority stake.
Enstar also confirmed that it would reinsure $500mn of ProSight Global’s 2019 and prior-year loss reserves following the deal.
AM Best said that the Enstar transaction will initially reduce ProSight Specialty Group’s underwriting leverage.
The ratings agency said it planned to have additional discussions with company management in the near term to discuss further details of the transaction and would provide further commentary in future.
The acquisition is expected to close in the third quarter, subject to various closing conditions.