RenaissanceRe Holdings Ltd. (NYSE:RNR) (“RenaissanceRe” or the
“Company”) today announced that it has completed its acquisition of
Platinum Underwriters Holdings Ltd. (NYSE: PTP) (“Platinum”). The
acquisition was originally announced on November 24, 2014.
Kevin J. O’Donnell, President and Chief Executive Officer of
RenaissanceRe, commented: “The combination of RenaissanceRe and Platinum
marks an important milestone for our company, benefiting our expanded
client base by providing additional products and underwriting expertise,
two strong underwriting platforms in the United States, and increased
scope and market presence. We expect the transaction to be accretive to
book value per share and earnings per share, as well as increase the
long-term value of our business for shareholders. With the acquisition
successfully completed, we are a stronger, broader-reaching
RenaissanceRe, offering more underwriting, product and capital solutions
to both existing clients and new clients.”
The completion of the acquisition follows the receipt of all necessary
regulatory approvals and approval of the transaction by Platinum
shareholders, which was obtained at a special general meeting of
Platinum shareholders held on February 27, 2015. Effective as of market
close today, Platinum shares will cease trading on the New York Stock
Exchange.
RenaissanceRe Holdings Ltd. is a global provider of reinsurance and
insurance. The Company’s business consists of three reportable segments:
(1) Catastrophe Reinsurance, which includes catastrophe reinsurance and
certain property catastrophe joint ventures managed by the Company’s
ventures unit; (2) Specialty Reinsurance, which includes specialty
reinsurance and certain specialty joint ventures managed by the
Company’s ventures unit; and (3) Lloyd’s, which includes reinsurance and
insurance business written through RenaissanceRe Syndicate 1458.
Cautionary Statement Regarding Forward-Looking
Statements
Any forward-looking statements made in this press release reflect
RenaissanceRe’s current views with respect to future events and
financial performance and are made pursuant to the safe harbor
provisions of the Private Securities Litigation Reform Act of 1995.
These statements are subject to numerous factors that could cause actual
results to differ materially from those set forth in or implied by such
forward-looking statements, including the following: the occurrence of
any event, change or other circumstances that could give rise to the
termination of the merger agreement; the inability to obtain Platinum’s
shareholder approval or the failure to satisfy other conditions to
completion of the merger, including receipt of regulatory approvals;
risks that the proposed transaction disrupts each company’s current
plans and operations; the ability to retain key personnel; the ability
to recognize the benefits of the merger; the amount of the costs, fees,
expenses and charges related to the merger; the frequency and severity
of catastrophic and other events; uncertainties in the companies’
reserving processes; the lowering or loss of any of the financial
strength, claims paying or enterprise wide risk management ratings of
either company or their respective subsidiaries or joint ventures; risks
associated with appropriately modeling, pricing for, and contractually
addressing new or potential factors in loss emergence; risks that the
companies’ might be bound to policyholder obligations beyond
their underwriting intent; risks due to the companies’ reliance on a
small and decreasing number of reinsurance brokers and other
distribution services; risks relating to operating in a highly
competitive environment; risks relating to deteriorating market
conditions; the risk that the companies’ customers may fail to make
premium payments due to them; the risk of failures of the companies’
reinsurers, brokers or other counterparties to honor their obligations
to the companies; a contention by the Internal Revenue Service that
Renaissance Reinsurance Ltd., Platinum Underwriters Bermuda, Ltd. or any
of the companies’ other Bermuda subsidiaries, is subject to U.S.
taxation; other risks relating to potential adverse tax developments;
risks relating to adverse legislative developments; risks associated
with the companies’ investment portfolios; changes in economic
conditions or inflation; and other factors affecting future results
disclosed in RenaissanceRe’s and Platinum’s filings with the SEC,
including its Annual Reports on From 10-K and Quarterly Reports on Form
10-Q.
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