Captive Manager USA Risk to be Acquired by Spencer Capital
Spencer Capital Holdings Ltd. on Monday said it has agreed to acquire captive manager USA Risk Group.
Financial terms of the transaction were not disclosed. A Spencer Capital spokesman declined to provide further details.
Barre, Vermont-based USA Risk is the largest independent captive insurance manager in the world according to Business Insurance‘s latest rankings. The company, which was founded in 1981, currently serves 20 captive domiciles and has $9 billion in assets under management, Spencer Capital said in a statement.
New York-based Spencer Capital Holdings, which owns San Juan, Puerto Rico-based Spencer Re, is affiliated with Spencer Capital Management. Under the agreement, USA Risk Chairman H. Lincoln Miller Jr. will join the board of directors of Spencer Capital and Gary Osborne, currently president of USA Risk, will join the board of directors of Spencer Re. After the transaction closes, expected during the first quarter of this year, USA Risk Group will continue to operate under its own name, according to the statement.
“USA Risk’s unparalleled reputation and leadership position in the captive industry is a welcomed addition to Spencer Capital Holdings as we seek to assemble a robust platform of leading and value-driven companies in the insurance and financial services industries,” said Spencer Capital Chairman Ken Shubin Stein in the statement.
“Ken Shubin Stein and his team embody the same ethos we instill in our employees and we share the same long-term interests for growing USA Risk,” Mr. Miller said in the statement. “This also allows us to maintain our long-held philosophy of independence from conflicts of broker-owned managers.”View Article Source