Core Specialty Acquires London Aviation Underwriters
Deal News | Jan 06, 2025 | Globenewswire
Core Specialty Insurance Holdings, Inc. and its subsidiaries have announced the acquisition of London Aviation Underwriters, Inc. (LAU). As part of a stock and cash transaction, Core Specialty aims to bolster its presence in the aviation and aerospace sectors by forming a dedicated division. The acquired company will be integrated into Core Specialty as its 18th specialty business unit, continuing to use the LAU brand under the company's Fronted Programs subsegment. Jeff Sutton, formerly President of LAU, will lead the new Aviation & Aerospace Division, bringing extensive industry expertise and experience as part of the transition. LAU has been a crucial partner for Core Specialty, generating $56 million in gross premiums written in 2023. This strategic acquisition is expected to leverage Core Specialty's financial strength and industry expertise to foster growth in the aviation sector.
Sectors
- Insurance
- Aviation & Aerospace
Geography
- United States – Core Specialty Insurance Holdings operates primarily within the United States, which is significant as the article discusses their strategic expansion in this market.
- United Kingdom – London Aviation Underwriters, based in London, adds a UK element to the geography, detailing the cross-border implications of the transaction.
Industry
- Insurance – The article revolves around the acquisition of London Aviation Underwriters, highlighting Core Specialty's endeavors in expanding their insurance offerings, specifically in the aviation and aerospace sectors.
- Aviation & Aerospace – The acquisition involves London Aviation Underwriters, which specializes in aviation and aerospace underwriting, aligning with Core Specialty's formation of an Aviation & Aerospace Division.
Financials
- $56 million – Refers to the gross premiums written by London Aviation Underwriters in 2023, demonstrating their financial contribution to Core Specialty before the acquisition.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| Core Specialty Insurance Holdings, Inc. | Acquiring Company | Company | Core Specialty is an insurance holding company offering a range of specialty insurance products. They are acquiring London Aviation Underwriters. |
| London Aviation Underwriters, Inc. | Target Company | Company | LAU specializes in aviation and aerospace underwriting and claims, and is being acquired by Core Specialty. |
| Jeff Sutton | President of Aviation & Aerospace Division | Person | Previously President of LAU, Jeff Sutton will lead the Aviation & Aerospace Division at Core Specialty after the acquisition. |
| Jeff Consolino | CEO of Core Specialty | Person | As Founder, President, and CEO of Core Specialty, Jeff Consolino is overseeing the strategic acquisition of LAU. |
| StarStone National Insurance Company | Policy Issuing Carrier | Company | Continues to be the policy issuing carrier involved in the transaction with the new division formed within Core Specialty. |