HAMILTON, Bermuda--(BUSINESS WIRE)--
Arch Capital Group Ltd. [Nasdaq:ACGL] today announced that it completed
its previously announced acquisition of United Guaranty Corporation
(UGC) from American International Group, Inc. (AIG) at year-end 2016.
The acquisition of UGC expands the scale of Arch’s existing mortgage
insurance businesses by combining UGC’s position as the market leader in
the U.S. private mortgage insurance industry with Arch’s financial
strength and history of innovation, further diversifying our business
profile and customer base. The expansion of our mortgage insurance
business complements our strengths in the specialty insurance and
reinsurance businesses, which continue to be central to our global
operations. Diversity across segments and product lines remains
fundamental to our corporate strategy and allows us to deploy our
capital to those areas offering the best opportunities at any given time.
Constantine (Dinos) Iordanou, Chairman and CEO of ACGL, commented, “We
are extremely pleased to complete this transaction, which will enable
our company to continue to provide a strong and diversified source of
private capital to the U.S. mortgage insurance and housing finance
markets. We believe the impressive operational, managerial and risk
management expertise of Arch, together with the talented professionals
joining us from UGC, will enable us to provide our clients with the best
products and services available anywhere in the industry.”
Marc Grandisson, President and COO of ACGL, added, “We are gratified
that Arch U.S. MI will be led by experienced professionals in Andrew
Rippert and David Gansberg and welcome our new colleagues from UGC. Over
the past several months, teams at Arch and UGC have been working
together to ensure a successful integration of our combined operations
and a seamless transition for our clients. Our combined mortgage group
looks forward to further strengthening its leadership position in the
development of innovative products and services to meet the ever
evolving needs of our clients and the housing finance system.”
Mr. Rippert, Chief Executive Officer, Global Mortgage Group, is
responsible for ACGL’s global mortgage insurance and reinsurance
operations. Mr. Gansberg, President and CEO of Arch U.S. MI Holdings,
reports to Mr. Rippert and is responsible for ACGL’s U.S. primary
mortgage insurance operations, which will be headquartered in
Greensboro, North Carolina, with significant operations in California.
About Arch Capital Group Ltd.
Arch Capital Group Ltd., a Bermuda-based company with approximately
$8.24 billion in capital at September 30, 2016, provides insurance and
reinsurance on a worldwide basis through its wholly owned subsidiaries.
Cautionary Note Regarding Forward-Looking Statements
The Private Securities Litigation Reform Act of 1995 provides a "safe
harbor" for forward−looking statements. This release or any other
written or oral statements made by or on behalf of Arch Capital Group
Ltd. and its subsidiaries may include forward−looking statements, which
reflect our current views with respect to future events and financial
performance. All statements other than statements of historical fact
included in or incorporated by reference in this release are
forward−looking statements.
Forward−looking statements can generally be identified by the use of
forward−looking terminology such as "may," "will," "expect," "intend,"
"estimate," "anticipate," "believe" or "continue" or their negative or
variations or similar terminology. Forward−looking statements involve
our current assessment of risks and uncertainties. Actual events and
results may differ materially from those expressed or implied in these
statements. A non-exclusive list of the important factors that could
cause actual results to differ materially from those in such
forward-looking statements includes the following: adversegeneral
economic and market conditions;increased competition;pricing
and policy term trends;fluctuations in the actions of rating
agencies and ourability to maintain and improve our ratings;
investment performance;the loss of key personnel;the
adequacy of our loss reserves,severity and/or frequency of
losses, greater than expected loss ratios and adverse development on
claim and/or claim expense liabilities;greater frequency or
severity of unpredictable natural and man-made catastrophic events; the
impact of acts of terrorism and acts of war; changes in regulations
and/or tax laws in the United States or elsewhere;our ability to
successfully integrate, establish and maintain operating procedures as
well as integrate the businesses we have acquired or may acquire into
the existing operations;changes in accounting principles or
policies;material differences between actual and expected
assessments for guaranty funds and mandatory pooling arrangements;availability
and cost to us of reinsurance to manage our gross and net exposures;the
failure of others to meet their obligations to us; andother
factors identified in our filings with the U.S. Securities and Exchange
Commission.
The foregoing review of important factors should not be construed as
exhaustive and should be read in conjunction with other cautionary
statements that are included herein or elsewhere. All subsequent written
and oral forward−looking statements attributable to us or persons acting
on our behalf are expressly qualified in their entirety by these
cautionary statements. We undertake no obligation to publicly update or
revise any forward−looking statement, whether as a result of new
information, future events or otherwise.
View source version on businesswire.com: http://www.businesswire.com/news/home/20170103005570/en/
Arch Capital Group Ltd.
Mark D. Lyons, 441-278-9250
Source: Arch Capital Group Ltd.