SiriusPoint Announces Sale of ArmadaCare MGA for $250m with Long Term Capacity Deal Until 2030
Rhea-AI Summary
SiriusPoint (NYSE: SPNT) has agreed to sell ArmadaCare, its supplemental health insurance program manager, to Ambac Financial Group for $250 million. The transaction values Armada at approximately 14x EBITDA and is expected to generate a pre-tax gain of $220-230 million for SiriusPoint.
While divesting its equity stake, SiriusPoint will maintain a capacity partnership with Armada through 2030. The deal is anticipated to increase pro-forma tangible book value by 10% upon closing in Q4 2025. The company maintains its across-the-cycle target return on equity of 12% to 15% and continues to see growth opportunities in its Accident & Health segment, including through its International Medical Group platform.
Positive
- Sale price of $250 million represents 14x EBITDA multiple
- Expected pre-tax gain of $220-230 million from the transaction
- Pro-forma tangible book value expected to increase by 10%
- Maintains long-term capacity partnership with Armada until 2030
- Unlocks significant off-balance sheet value while retaining business relationship
Negative
- Divestment of wholly-owned profitable subsidiary could impact future earnings potential
News Market Reaction – SPNT
In the Sep 30 session, SPNT gained 1.17%, reflecting a mild positive market reaction.
Data tracked by StockTitan Argus on the day of publication.
AI-generated analysis. How Rhea-AI works. Not financial advice.
HAMILTON, Bermuda, Sept. 29, 2025 (GLOBE NEWSWIRE) -- SiriusPoint Ltd. (“SiriusPoint”) (NYSE: SPNT), a global specialty insurer and reinsurer, has today announced its agreement to sell wholly owned supplemental health insurance program manager, ArmadaCare (“Armada”) to Ambac Financial Group Inc. (“Ambac”) for
Upon completion of the sale, SiriusPoint will recognize a pre-tax gain of
Scott Egan, SiriusPoint’s Chief Executive Officer, said: “The sale of our equity stake is an important step in unlocking the significant off-balance sheet value of Armada. We look forward to continuing our strong partnership with the team through our long-term capacity agreement.
“We are proud of our leading capabilities in the Accident & Health segment, which includes our ownership of premier travel platform International Medical Group (IMG), and we see attractive growth opportunities for our A&H business going forward.
“We reaffirm our across-the-cycle target return on equity of
The transaction is expected to close in the fourth quarter, subject to customary closing conditions and receipt of regulatory approvals.
Jefferies LLC served as SiriusPoint’s exclusive financial advisor and Paul Hastings LLP served as legal advisor in the sale of Armada.
About SiriusPoint
SiriusPoint is a global underwriter of insurance and reinsurance providing solutions to clients and brokers around the world. Bermuda-headquartered with offices in New York, London, Stockholm and other locations, we are listed on the New York Stock Exchange (SPNT). We have licenses to write Property & Casualty and Accident & Health insurance and reinsurance globally. Our offering and distribution capabilities are strengthened by a portfolio of strategic partnerships with Managing General Agents and Program Administrators. With approximately
About ArmadaCare
A leading insurance program manager, ArmadaCare delivers uncommon health insurance solutions designed to enhance ordinary health benefits. With the steadfast belief that health insurance should be better, ArmadaCare’s plans fill voids in coverage for routine and unexpected healthcare expenses, offer valuable health and productivity support services and invite usage with modern conveniences and people-first service. The result gives our clients the edge they need to retain, recruit and reward key talent. Learn more at www.ArmadaCare.com
About Ambac
Ambac Financial Group, Inc. (“Ambac” or “AFG”) is an insurance holding company headquartered in New York City. Ambac consists of a diverse mix of specialty insurance underwriting and distribution businesses in the U.S. and U.K. Ambac’s common stock trades on the New York Stock Exchange under the symbol “AMBC”. For more information, please go to www.ambac.com
Forward-Looking Statements
We make statements in this press release that are forward-looking statements within the meaning of the U.S. federal securities laws. We intend these forward-looking statements to be covered by the safe harbor provisions for forward-looking statements in the U.S. Federal securities laws. These statements involve risks and uncertainties that could cause actual results to differ materially from those contained in the forward-looking statements. These risks and uncertainties include, but are not limited to, the impact of general economic conditions and conditions affecting the insurance and reinsurance industry; the adequacy of our reserves; fluctuation in the results of operations; pandemic or other catastrophic event; uncertainty of success in investing in early-stage companies, such as the risk of loss of an initial investment, highly variable returns on investments, delay in receiving return on investment and difficulty in liquidating the investment; our ability to assess underwriting risk, trends in rates for property and casualty insurance and reinsurance, competition, investment market and investment income fluctuations; trends in insured and paid losses; regulatory and legal uncertainties; and other risk factors described in SiriusPoint’s Annual Report on Form 10-K for the period ended December 31, 2024. Except as required by applicable law or regulation, we disclaim any obligation to publicly update or revise any forward-looking statement to reflect changes in underlying assumptions or factors, or new information, data or methods, future events or other circumstances after the date of this press release.
Contacts
Investor Relations
Liam Blackledge, SiriusPoint
Liam.Blackledge@siriuspt.com
+44 203 772 3082
Media
Sarah Hills, Rein4ce
sarah.hills@rein4ce.co.uk
+44 7718 882011
1 Based on Last Twelve Months Adjusted Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA).
