WINSTON-SALEM, N.C., April 1, 2015 /PRNewswire/ — BBT Insurance Holdings Inc., a subsidiary of BBT Corporation (NYSE: BBT), announced today it has reached an agreement to significantly increase its partnership interest in AmRisc, LP (AmRisc). In a related agreement, BBT Corporation agreed to sell American Coastal Insurance Company (AmCoastal) to certain members of the AmRisc management team.
Management of AmRisc will retain a minority interest in the company and continue to strategically grow and manage the business. AmRisc has grown into a leading managing general underwriter (MGU) with gross written premiums approaching $1 billion in 2014. As an MGU, AmRisc does not assume any underwriting risk and represents an attractive fee income business for BBT that is highly complementary and strategically important to BBT Insurance Holdings.
The sale of American Coastal Insurance Company eliminates BBT’s exposure to potential underwriting losses in the future. The net effect of these two transactions is not expected to have a material impact on BBT’s earnings or capital position. These transactions were included in BBT’s capital plan as part of the 2015 Comprehensive Capital Analysis and Review (CCAR). The Federal Reserve System accepted BBT’s 2015 CCAR submission and did not object to its proposed capital actions.
Deutsche Bank Securities Inc. served as financial advisor to BBT. Willkie Farr Gallagher LLP served as legal counsel to BBT in this transaction. Willis Capital Markets Advisory served as financial advisor to the AmRisc management team. Debevoise Plimpton, LLP and Isaacks Associates, Ltd. LLP, served as legal counsel to AmRisc in this transaction.
About BBT Insurance Holdings
Raleigh, N.C.-based BBT Insurance Holdings, the fifth largest insurance broker in the U.S. and the sixth largest internationally, is a wholly owned subsidiary of BBT Corporation. BBT Insurance Holdings operates more than 100 insurance agencies through subsidiaries BBT Insurance Services, BBT Insurance Services of California, and McGriff, Seibels Williams. Visit http://Insurance.BBT.com to learn more.
About BBT
BBT is one of the largest financial services holding companies in the U.S. with $186.8 billion in assets and market capitalization of $28.0 billion, as of December 31, 2014. Based in Winston-Salem, N.C., the company operates 1,839 financial centers in 12 states and Washington, D.C., and offers a full range of consumer and commercial banking, securities brokerage, asset management, mortgage and insurance products and services. A Fortune 500 company, BBT has been recognized for outstanding client satisfaction by J.D. Power and Associates, the U.S. Small Business Administration, Greenwich Associates and others. More information about BBT and its full line of products and services is available at bbt.com.
SOURCE BBT Corporation
RELATED LINKS
http://www.bbt.com
Leave a Reply