Peak Re to acquire Bermuda based ILS asset manager Lutece

8 Apr 2020
  • A strategic platform that will strengthen Peak Re’s ILS capabilities
  • Confirms Peak Re’s place as a leader in the Asian ILS

Peak Reinsurance Company Limited (“Peak Re”) has entered into definitive agreements to acquire 100% of the capital of Lutece Holdings Ltd. and its subsidiary Lutece Investment Management Ltd. (“Lutece”). The transaction is subject to regulatory procedures and is expected to close in coming weeks.

Lutece is a Bermuda based dedicated ILS asset manager. It was founded in 2017 by industry veterans Erik Manning and Angus Ayliffe, each with decades of experience in reinsurance and ILS. Lutece is currently known in the ILS market for operating a very specific and targeted retro strategy; however, going forward Lutece will provide Peak Re with a platform for expansion into other areas of the ILS market. Lutece Investment Management will be renamed Peak Capital and will become a fully owned subsidiary of Peak Re.

“The acquisition of Lutece carries Peak Re forward in its aspirations in ILS by bringing Lutece’s expertise in house. This will definitely be accretive to our capabilities in capital and third party capital management,” says Peak RE CEO Franz Josef Hahn.

“We see opportunities from growing Asian risk exposures – Lutece’s professionals with ILS and structuring expertise, combined with Peak Re’s strong underwriting and operating franchise, will create new avenues for us to innovate for both customers and investors, working towards our ambition of narrowing the protection gap in Asia,” Mr Hahn comments.

Peak Re launched Asia’s first reinsurance sidecar transaction, Lion Rock Re, in 2018. It was upsized at the end of 2019 with strong investor support. The acquisition of Lutece is expected to enhance Peak Re’s capabilities and expand its ILS product suite.

Speaking on behalf of the whole Lutece team, CEO Erik Manning says, “We are delighted to become a part of Peak Re and look forward to bringing our assets and areas of expertise to help strengthen Peak Re’s platform. Peak Re’s analytical-underwriting model is very much in keeping with the culture of Lutece, and with that foundation we are looking forward to helping to expand Peak Re’s ILS footprint.”


About Peak Re

Peak Reinsurance Company Limited (“Peak Re” or “the Company”) is authorised by the Insurance Authority of Hong Kong. It is one of the few locally established reinsurance companies in Asia Pacific, underwriting both life and non-life reinsurance business.

With a shareholder equity of over US$1 billion as of 30 June 2019, it enjoys an “A-” rating by A.M. Best, a leading international insurance industry credit rating agency, and ranks among the top 30 global reinsurance groups in terms of net written premiums*.

Peak Re strives to provide innovative and forward-looking reinsurance services for customers in the Asia Pacific, Europe, Middle East and Africa and the Americas. It tailors risk transfer and capital management solutions to best fit clients’ needs.

Fosun International Limited (00656.HK) and Prudential Financial, Inc. hold approximately 87% and 13% of Peak Re via Peak Reinsurance Holdings Limited, respectively.

* Source: S&P Top 40 Global Reinsurance Groups 2019

brand-arrow

Media Contact

Media


Peak Reinsurance Company Limited

E: [email protected]