Debevoise Advises AmTrust in the Merging of its Lloyd’s Business with Canopius

18 April 2019

Debevoise & Plimpton LLP has advised AmTrust Financial Services (“AmTrust”) in the merging of its Lloyd’s business with Canopius AG (“Canopius”).

The merger, undertaken through the signing of a definitive sale and purchase agreement, is subject to regulatory approval, and is expected to complete in Q3 2019. Canopius plans to merge its Syndicate 4444 with AmTrust Syndicate 1861 under the management of Canopius Managing Agents. As part of the transaction, AmTrust Financial Services Inc. will become a significant minority shareholder in Canopius.

The transaction will create a top-five insurer at Lloyd’s with combined premiums of approximately $2.2bn.

Canopius is a global specialty (re)insurer with underwriting operations in Bermuda, China, Ireland, Netherlands, Singapore, Switzerland, the UK and US.

AmTrust is a multinational insurance holding company headquartered in New York. It offers specialty property and casualty insurance products, including workers' compensation, commercial automobile, general liability and extended service and warranty coverage.

The agreement is the latest in a flurry of Lloyds-related deals Debevoise has advised on in recent years, in a market that continues to see significant activity. The team has also advised AmTrust on a number of recent major transactions, including its significant back book reinsurance transaction with Enstar, and the sale of its domestic and international surety and credit reinsurance operations to Liberty Mutual Insurance.

The Debevoise team advising AmTrust was led by partner David Innes, supported by international counsel Benjamin Lyon. The team also included partner Jeffrey P. Cunard, international consultant Clare Swirski, and associates Clarissa McNerney, Peter Bates, Sarah Hale, Dexter Hoffman, Jose Angel Lamarque and Daniel Priest. Tax advice was provided by partners Rafael Kariyev and Richard Ward, as well as associates Paul Eastham and Samuel D. Krawiecz. Competition advice was provided by international counsel Timothy McIver, as well as associate Anne-Mette Heemsoth. Employment and outsourcing advice was provided by Christopher Garrett.

Debevoise & Plimpton is a premier law firm with market-leading practices, a global perspective and strong New York roots. We deliver effective solutions to our clients’ most important legal challenges, applying clear commercial judgment and a distinctively collaborative approach.