HELIOS UNDERWRITING PLC

M&A Activity • May 31, 2016

National Storage Mechanism | Additional information

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RNS Number : 6065Z

Helios Underwriting Plc

31 May 2016

31 May 2016

Helios Underwriting plc

("Helios" or the "Company")

Acquisition of Lloyd's Limited Liability Vehicle

Helios is pleased to announce that, in line with its strategy of increasing underwriting capacity through acquisition, it has acquired Nameco (No 346) Limited, a limited liability member of Lloyd's ("LLV"), for a consideration of £3.75 million in cash.  The 2016 underwriting capacity of the LLV is £3.3 million (this compares with Helios's 2016 capacity of £29.3 million prior to this acquisition).  The LLV participates in a spread of Lloyd's syndicates broadly similar to Helios's own participation. The capacity acquired together with the capacity retained by Helios is as follows:

		Year of Account
	2014	2015	2016
	£m	£m	£m
Retained	3.4	3.2	1.0
Reinsured	-	-	2.3
Total Capacity	3.4	3.2	3.3

Commenting upon the acquisition, Nigel Hanbury, the Company's Chief Executive Officer, said:

"We are delighted to have made a further LLV acquisition which further increases our underwriting capacity.  This is in line with our stated strategy of acquiring corporate members as suitable opportunities arise.  We continue to believe that there remain significant opportunities for further growth available to the Company."

For further information please contact:

Helios Nigel Hanbury - Chief Executive Arthur Manners	020 7863 6655 / nigel.hanbury@huwplc.com 07754 965 917
Stockdale Robert Finlay	020 7601 6100

About Helios

Helios provides a limited liability direct investment into the Lloyd's insurance market and is quoted on the London Stock Exchange's AIM market (ticker: HUW).  Helios trades within the Lloyd's insurance market writing approximately £32 million of capacity for the 2016 account.  The portfolio provides a good spread of classes of business being concentrated in property insurance and reinsurance.  For further information please visit www.huwplc.com.

Additional information

Nameco (No.346) Limited (N346) is a limited liability member of Lloyd's.  In the year ended 31 December 2015, N346 made a profit before tax of £0.38m on gross premiums written of £3.0m and its net asset value at completion is expected to be approximately £2.2m, including underwriting capacity with an estimated market value of £1.3m.

Set out below are N346's 2014 and 2015 open years of account forecasts:

YOA	N346 syndicate capacity (£'000)	Forecast of syndicate profit (30 March 2016)
Mid point (£'000)	Mid point (%)	Range (%)
2014	3,368	293	8.69%	4.94 - 12.44%
2015	3,187	203	6.37%	1.80 - 10.93%

Source: Syndicate data and Helios analysis (before early release)

Set out below are details of N346's syndicate participations for the 2013 to 2016 years of account:

YOA	2013		2014		2015		2016
Syndicate	(£000'S)	*%	(£000'S)	*%	(£000'S)	*%	(£000'S)	*%
33	211	6.75	222	6.60	222	6.97	320	9.64
218	67	2.14	67	1.99	54	1.69	85	2.56
386	41	1.31	41	1.22	35	1.10	83	2.50
510	241	7.71	241	7.16	241	7.56	376	11.33
557	25	0.80	25	0.74	25	0.78	35	1.05
609	230	7.36	230	6.83	230	7.22	344	10.37
623	244	7.80	263	7.81	245	7.69	422	12.72
727	108	3.45	108	3.21	108	3.39	123	3.71
958	93	2.97	74	2.20	78	2.45	0	0.00
1176	0	0.00	0	0.00	0	0.00	25	0.75
1200	140	4.48	140	4.16	140	4.39	170	5.12
1729	0	0.00	35	1.04	35	1.10	42	1.27
1910	0	0.00	0	0.00	0	0.00	92	2.77
2010	0	0.00	0	0.00	0	0.00	41	1.24
2014	0	0.00	175	5.20	233	7.31	200	6.03
2525	0	0.00	0	0.00	0	0.00	4	0.12
2791	185	5.92	163	4.84	144	4.52	245	7.38
4242	0		0		0		31	0.93
4444	0	0.00	0	0.00	0	0.00	101	3.04
5820	109	3.49	109	3.24	109	3.42	109	3.29
6103	57	1.82	41	1.22	17	0.53	19	0.57
6104	45	1.44	70	2.08	70	2.20	60	1.81
6105	23	0.74	72	2.14	72	2.26	0	0.00
6106	57	1.82	0	0.00	0	0.00	0	0.00
6107	41	1.31	41	1.22	41	1.29	41	1.24
6110	123	3.93	0	0.00	0	0.00	0	0.00
6111	150	4.80	159	4.72	157	4.93	204	6.15
6113	78	2.49	78	2.32	0	0.00	0	0.00
6117	0	0.00	153	4.55	101	3.17	138	4.16
6123	0						8	0.24
7200	101	3.23	101	3.00	97	3.04	0	0.00
7201	520	16.63	520	15.45	496	15.57	0	0.00
7202	183	5.85	183	5.44	174	5.46	0	0.00
7203	29	0.93	29	0.86	28	0.88	0	0.00
7217	26	0.83	26	0.77	30	0.94	0	0.00
7227	0	0.00	0	0.00	4	0.13	0	0.00
	3,127	100.00	3,366	100.00	3,186	100.00	3,318	100.00

* Percentage of total syndicate portfolio

This information is provided by RNS

The company news service from the London Stock Exchange

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