Vantage targets US insurance growth with $200m capital injection from Carlyle and H&F

Bermuda-based Vantage Group Holdings Ltd. is set to receive up to an additional $200 million of capital from funds managed by Carlyle Group and Hellman & Freidman (H&F), as the carrier looks to take advantage of opportunities in its U.S. insurance operation.

Vantage was launched in December of 2020 by industry veterans Dinos Iordanou and Greg Hendrick.

The Class of 2021 re/insurer was established with $1 billion of equity capital from a combination of its management, Carlyle and H&F.

Despite an active first year for the company, AM Best recently affirmed Vantages credit ratings and said that it expects the reinsurance portfolio to become relatively smaller than the primary insurance portfolio as the firm executes its business plan.

Today, the company has announced another injection of capital from Carlyle and H&F of up to $200 million. Vantage says that the majority of the proceeds will be used to make the most of opportunities in U.S. primary business.

At the same time, Vantage has announced the closure of its purchase of an admitted lines carrier, Vantage Risk Assurance Company (formerly known as Heritage Casualty Insurance Company), from Union Fidelity Life Insurance Company (UFLIC).

The companys Chief Executive Officer (CEO), Hendrick, commented: “We are pleased to have closed on the purchase of Vantage Risk Assurance Company. Work is ongoing to complete the necessary filings to enable Vantage to offer admitted products later this year.”

On the capital raise and acquisition, Hendrick added: We are thrilled that our two majority shareholders have affirmed their commitment and belief in Vantage with their additional capital investment. Furthermore, our acquisition of an admitted lines carrier serves to complete the build-out of our insurance platform. We will have capabilities to assume risk on US admitted and non-admitted paper, as well as in our Bermuda entity.

“We are also pleased to be entering our second full year of reinsurance underwriting in Bermuda, having successfully launched that business in 2021. We look forward to continuing to expand the ways we are helping our clients and brokers solve their most pressing (re)insurance challenges with this complete platform in place.”