Beechwood Bermuda has finished its acquisition of Old Mutual Bermuda (OMB), the company has said.
The Bermuda-based provider of insurance and investment products with over $1bn in assets. OMB closed for new business in 2009. Beechwood, which is one of the largest providers of international investment plans, now has over $2bn in total assets.
The transaction provides for the continuation of service support by Old Mutual for the OMB products over the next three years. As part of the arrangement, Old Mutual will reinsure certain policy guarantees until they mature in 2017 and 2018.
Financial terms of the transaction were not disclosed. Certain regulatory approvals for the transfer of future policy administration arrangements are expected by the end of the first quarter of 2016.
The Beechwood group includes Beechwood Bermuda Ltd., a licensed long-term insurer located in Hamilton, Bermuda and regulated by the Bermuda Monetary Authority (BMA) and Beechwood Re, a reinsurer domiciled in Grand Cayman and regulated by the Cayman Islands Monetary Authority (CIMA).
The companies provide products to non-US high net worth investors and to US and international insurers in need of capacity in the life insurance and annuity reinsurance market.