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Alterra deal a ‘modest positive’: analysts

04 March 2010

The amalgamation deal between Max Capital and Harbor Point to form Alterra Capital is being deemed a ‘modest positive’ by analysts.

Read more: Max Capital Harbor Point Alterra Capital

The amalgamation deal between Max Capital and Harbor Point to form Alterra Capital is being deemed a ‘modest positive’ by analysts.

Keefe, Bruyette and Woods views the main benefit of the transaction as being the increased size and a larger capital base. The deal results in a combined entity with a well diversified book of insurance and reinsurance business that is balanced between long and short tailed lines.

“Max was one of the smaller Bermudians by market cap and premium volume, and will now fall in the middle of the peer group,” said Dean Evans, analyst at KBW, in a research note.

As a combined pro forma entity, Alterra...


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