Chariot Re: New Reinsurance Venture Launched by MetLife and General Atlantic
Deal News | Dec 11, 2024 | General Atlantic
In a strategic collaboration, MetLife, Inc., a globally recognized insurance provider, and General Atlantic, a prominent global investor, have announced the formation of Chariot Reinsurance, Ltd. (Chariot Re), a Bermuda-based life and annuity reinsurance company. Slated to launch in the first half of 2025, Chariot Re intends to leverage an initial combined equity investment exceeding $1 billion, with each founding partner initially possessing approximately 15% equity. The remaining equity will be distributed among third-party investors, prominently including Chubb. MetLife will transfer a $10 billion block of liabilities involving structured settlement annuity contracts and group annuity contracts associated with pension risk transfers to Chariot Re. Strategic asset management will be handled by MetLife Investment Management and General Atlantic. The anticipated CEO of Chariot Re is Cynthia Smith, a veteran executive from MetLife. The formation will undergo necessary regulatory approvals and financial protocols. The venture is a testament to the partners' commitment to leveraging their investment management capabilities to meet global demand for life and retirement solutions.
Sectors
- Insurance
- Financial Services
Geography
- Bermuda – Chariot Reinsurance, Ltd. is to be based in Bermuda as a Class E reinsurance firm.
- United States – Both MetLife and General Atlantic are headquartered in the United States, making this a core geographic location.
Industry
- Insurance – The article discusses the formation of a reinsurance company, indicating it falls under the insurance industry.
- Financial Services – MetLife and General Atlantic's involvement in asset management and investment signifies the financial services sector.
Financials
- $1 billion – Initial combined equity investment in Chariot Re by MetLife and General Atlantic.
- $10 billion – Block of liabilities MetLife plans to transfer as part of the reinsurance agreement.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| MetLife, Inc. | Partner in Chariot Re | Company | A leading global provider of insurance, annuities, and employee benefits. |
| General Atlantic | Partner in Chariot Re | Company | A global investor specializing in private markets with a focus on growth equity, credit, climate, and infrastructure. |
| Chariot Reinsurance, Ltd. | Reinsurance Company | Company | A to-be-formed Bermuda-based life and annuity reinsurance firm. |
| Chubb | Anchor Investor | Company | A global leader in property and casualty insurance expected to hold a significant stake in Chariot Re. |
| Michel Khalaf | CEO of MetLife | Person | President and CEO who articulates MetLife's vision for Chariot Re. |
| Bill Ford | CEO of General Atlantic | Person | Chairman and CEO who shares General Atlantic's investment philosophy towards Chariot Re. |
| Cynthia Smith | CEO of Chariot Re | Person | Appointed CEO with a 30-year tenure at MetLife. |
| Bank of America | Financing Provider | Company | Expected to provide financial backing for Chariot Re. |
| Debevoise & Plimpton LLP | Advisor to MetLife | Company | Provided advisory services to MetLife. |
| Oliver Wyman | Advisor to MetLife | Company | Provided advisory services to MetLife. |
| Ardea Partners LP | Financial Advisor to General Atlantic | Company | Served as financial advisor to General Atlantic. |
| Paul, Weiss, Rifkind, Wharton & Garrison LLP | Legal Counsel to General Atlantic | Company | Served as legal counsel to General Atlantic. |
| Eversheds Sutherland (US), LLP | Legal Counsel to General Atlantic | Company | Provided legal counsel to General Atlantic. |