Latest news with #SamsungFire
Miami Herald
5 hours ago
- Business
- Miami Herald
Samsung Fire invests $570 million in Canopius
June 12 (UPI) -- South Korea's Samsung Fire & Marine Insurance has invested $570 million in Canopius Group to increase its stake in the international specialty insurer from 19% to 40%. Canopius announced Wednesday that Samsung Fire had purchased the 21% stake from Fidentia Fortuna Holdings, which is owned by U.S. private equity company Centerbridge Partners. It marked Samsung Fire's third investment in Canopius. South Korea's leading non-life insurance firm channeled funds in 2019 and 2020 to secure a 21% stake in London-based Canopius. The transaction, which is expected to take place on Sept. 30 this year, is subject to customary closing conditions, including regulatory approvals. "This additional investment goes beyond a financial stake -- it represents a strategic milestone toward increased collaboration and shared value creation," Samsung Fire CEO Lee Mun-hwa said in a statement. "We remain committed to expanding our overseas footprint and driving innovation to evolve into a top-tier global insurer," he added. Established in 2003, Canopius has grown into a top-tier global underwriter, which has operations in more than 130 countries, including Bermuda, the Netherlands, Singapore, Switzerland, the United Kingdom, and the United States. The company ranks as the fifth-largest syndicate in the Lloyd's London market. Samsung Fire has actively explored investment opportunities in overseas markets. It spent $19 million in 2017 to become the second-largest shareholder of Vietnamese insurer PJICO with a 20% interest. In 2018, the Seoul-based company channeled $20 million to buy a roughly 5% shareholding in Indonesian non-life insurance company TPI. Copyright 2025 UPI News Corporation. All Rights Reserved.
UPI
6 hours ago
- Business
- UPI
Samsung Fire invests $570 million in Canopius
June 12 (UPI) -- South Korea's Samsung Fire & Marine Insurance has invested $570 million in Canopius Group to increase its stake in the international specialty insurer from 19% to 40%. Canopius announced Wednesday that Samsung Fire had purchased the 21% stake from Fidentia Fortuna Holdings, which is owned by U.S. private equity company Centerbridge Partners. It marked Samsung Fire's third investment in Canopius. South Korea's leading non-life insurance firm channeled funds in 2019 and 2020 to secure a 21% stake in London-based Canopius. The transaction, which is expected to take place on Sept. 30 this year, is subject to customary closing conditions, including regulatory approvals. "This additional investment goes beyond a financial stake -- it represents a strategic milestone toward increased collaboration and shared value creation," Samsung Fire CEO Lee Mun-hwa said in a statement. "We remain committed to expanding our overseas footprint and driving innovation to evolve into a top-tier global insurer," he added. Established in 2003, Canopius has grown into a top-tier global underwriter, which has operations in more than 130 countries, including Bermuda, the Netherlands, Singapore, Switzerland, the United Kingdom, and the United States. The company ranks as the fifth-largest syndicate in the Lloyd's London market. Samsung Fire has actively explored investment opportunities in overseas markets. It spent $19 million in 2017 to become the second-largest shareholder of Vietnamese insurer PJICO with a 20% interest. In 2018, the Seoul-based company channeled $20 million to buy a roughly 5% shareholding in Indonesian non-life insurance company TPI.
Korea Herald
13 hours ago
- Business
- Korea Herald
Samsung Fire ups Canopius stake to 40% in global push
Samsung Fire & Marine Insurance is ramping up its overseas expansion with a $570 million investment in Canopius Group, increasing its stake in the London-based specialty insurer to 40 percent. The Korean general insurer said Wednesday it will acquire an additional 21.17 percent stake in Fortuna Topco, the holding company that owns 100 percent of Canopius. A Samsung Fire official noted the stake effectively translates to a direct holding in Canopius, which specializes in property and casualty insurance and reinsurance. The shares are being acquired from a Centerbridge-led consortium, which will retain a 60 percent controlling stake after the transaction. Pending regulatory approvals in both countries, the deal is expected to close by the end of September. This marks Samsung Fire's third investment in Canopius, following a combined $300 million in stakes acquired in 2019 and 2020. Samsung Fire's latest move further solidifies its position as the second-largest shareholder and establishes its role as a co-operator of Canopius alongside the Centerbridge-led consortium. Canopius has posted steady growth in recent years, reporting $3.53 billion in gross written premiums in 2024 and ranking among the top five at Lloyd's, one of the world's largest specialty and reinsurance marketplaces. It operates underwriting platforms in Bermuda, the Netherlands, Singapore, Switzerland, the UK, the US and Lloyd's China. Samsung Fire said its partnership with Canopius has also delivered tangible benefits, including around 300 billion won ($221 million) in reinsurance revenue and 88 billion won in equity-method gains in 2024. With its expanded stake, the company plans to step up its board involvement and decision-making role to further strengthen its global footprint. 'This deal goes beyond a simple stake investment — it marks a strategic milestone for joint management and value creation in the global market,' said Samsung Fire & Marine CEO Lee Mun-hwa. 'We will continue to move beyond Korea's insurance market through bold global expansion and innovation, aiming to become a leading international insurer.'
Korea Herald
20-02-2025
- Business
- Korea Herald
Samsung Life sees limited impact from Samsung Fire subsidiary plan
Samsung Life rules out additional stake in Samsung Fire post-affiliation, vows to boost shareholder returns Samsung Life Insurance said Thursday that it expects limited impact on its business following its planned incorporation of Samsung Fire & Marine Insurance as a subsidiary. "The subsidiary incorporation will have no impact on the company's profits or capital ratio, nor will there be any changes in overall business management," Samsung Life's Chief Financial Officer Lee Wan-sam said during an earnings call earlier in the day. However, given that both firms are market leaders in their respective insurance sectors, synergy is expected, particularly as the boundaries between life and general insurance continue to blur amid evolving consumer needs. Like other life insurers, Samsung Life has been expanding into the health insurance sector in recent years. "The two companies are already active in the overlapping health insurance sector. Within legal boundaries, we will pursue further synergy through cross-selling and joint investments in alternative assets," Lee added. The comments follow Samsung Life's application for regulatory approval from the Financial Services Commission last week for the subsidiary affiliation. Industry watchers estimate the review process will take about two months. This move comes after Samsung Fire's January announcement of plans to reduce its 15.9 percent treasury shareholding to below 5 percent by 2028 as part of efforts to enhance corporate value and boost shareholder returns. If the affiliation is approved, Samsung Life's stake in Samsung Fire will increase from 14.98 percent to 16.93 percent, surpassing the 15 percent cap set by local insurance regulations. Under the Insurance Business Act, an insurer must incorporate another insurer as a subsidiary if its stake exceeds this threshold. While Samsung Life could alternatively sell shares to comply with the cap, industry analysts believe subsidiary incorporation is the more likely outcome. A key concern had been the overhang risk before any potential stake sale, as uncertainty over a divestment could have prompted investors to offload shares preemptively, potentially driving down stock prices. However, following Samsung Life's formal application for subsidiary affiliation submitted to the FSC last Wednesday, this overhang risk subsided, triggering a rally in both insurers' stock prices. Samsung Life surged 15.1 percent, while Samsung Fire jumped 18.5 percent over the next two trading days. Selling shares also carries the risk of weakening Samsung Life's dominant position within Samsung Group's governance structure. Currently, Samsung Electronics Chairman Lee Jae-yong holds an 18.9 percent stake in Samsung C&T, which in turn owns 19.34 percent of Samsung Life. Samsung Life, in turn, is the largest shareholder of both Samsung Fire and Samsung Electronics, reinforcing Lee's control over the group's key business divisions. Any reduction in Samsung Life's stake in Samsung Fire would require careful management to preserve this strategic power structure. While some industry insiders speculated that Samsung Life might further increase its stake in Samsung Fire post-affiliation, the company dismissed the possibility on Thursday, stating it has no plans to expand its holdings at this time. Meanwhile, Samsung Life reaffirmed its commitment to increasing shareholder returns, setting a 50 percent shareholder return rate for this year, largely boosted by strong earnings in 2024. In 2024, the company posted a net profit exceeding 2 trillion won ($1.4 billion). "We aim to enhance corporate value by maintaining an appropriate capital ratio while ensuring a stable and steadily increasing shareholder return rate," the CFO said.
