DARAG, a European run-off insurance company, has entered an agreement to acquire all shares of Stockholm-based Swedish captive insurance company Ikano Försäkring, a wholly-owned subsidiary of Ikano Group.
The deal will provide Ikano with legal and economical finality with regards to its insurance business, the company said in a statement. The share purchase agreement is subject to the regulatory approval of the Swedish Financial Supervisory Authority (SFSA) in Stockholm.
Headquatered in in Luxembourg, the Ikano Group operates across finance, insurance, production, real estate and retail.
"This transaction, is a great beginning to a very promising year," said Zsolt Szalkai, group chief liability officer at DARAG. "We firmly believe that the legacy market in Europe will reach new heights in 2017, as the (re)insurance industry continues to acknowledge run-off solutions as a natural element of the insurance lifecycle, one that helps them reduce costs, manage volatility and achieve capital efficiencies."
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DARAG, Run-off, Captive, Europe, M&A