5 November 2018
SOBC DARAG, the joint venture formed between SOBC, the US-based run-off specialist and DARAG, the leading legacy acquirer, is pleased to announce the completion of its first acquisition; Peachtree Casualty Insurance Company (“Peachtree”).
The acquisition of Florida-based Peachtree was completed after receipt of Florida Office of Insurance Regulation (“FL OIR”) approval. SOBC DARAG’s Ohio based team has also taken over the day-to-day management and claims handling to ensure a successful run-off.
Stephanie Mocatta, CEO of SOBC DARAG, said: “We are really pleased to have closed our first transaction under our new joint venture between SOBC and DARAG. Working together with DARAG has been extremely satisfying; we have been able to work efficiently and effectively to get this transaction completed in a short time frame. We are now working together on several more potential transactions and look forward to considerable expansion of SOBC DARAG here in the USA.”
Tom Booth, Group CEO of DARAG, said: “The completion of Peachtree is the first step in our exciting expansion plans into the USA. DARAG Group, having raised an additional equity commitment of €260m ($300m) in July, is committed to expansion in the USA and Bermuda markets: SOBC DARAG will be the platform to achieve this. We are looking forward to considerable growth in this area over the next 12 to 24 months.”
Notes to editors:
Peachtree is to be ultimately owned by the newly-formed DARAG Guernsey, owned by DARAG Group Investors. SOBC DARAG Holdings, a direct subsidiary of DARAG Guernsey, is to be the principal vehicle for future US and other non-EU based acquisitions.
DARAG is a leading international insurance and reinsurance company specialising in the assumption of discontinued business and the provision of capital relief solutions. Building on its strong European roots, since 2009 DARAG has completed 23 run-off transactions in 15 countries with a value of in excess of €740m. DARAG recently completed a €260m ($300m) capital raise, with Aleph Capital Partners and Crestview Partners joining current owners Keyhaven Capital Partners as strategic backers of the business. For more information, please visit: www.darag-group.com
SOBC is a USA based company specializing in the acquisition of entities with legacy insurance liabilities, including insurance companies, captives and risk retention groups. Building on the experience of the management team, and founded in 2006, the team has made 17 acquisitions of insurance entities and currently has six under management in various US states and Bermuda. Please visit www.sobcsandell.com