Bahamas First buys Cayman General for $11.3m
(The Nassau Guardian): The $11.3 million purchase of a Cayman Islands general insurance company should start earning Bahamas First Holdings money from day one, it’s top man said on the first day of business. The Nassau Guardian reported on Friday how Bahamas First had successfully completed its purchase of Sagicor Life Jamaica Limited’s 75.24 percent interest in Sagicor General Insurance (Cayman) Ltd – and the $50 million gross written premiums which go with it. Chairman Ian Fair, Group President and CEO Patrick Ward, and CFO Glen Ritchie traveled to the Cayman Islands for their first board meeting and a reception marking the successful completion of the deal.
Category: Business
What about the Hurlstone lawsuit? Thats another $25mil, who’s footing that bill?
All I can do is hope that with all of this insurance companies buy-and-sell one another, my lil’ policy not getting juggled so much it disappear!
OK let’s do the math, folks. Back in 2006-2007 the Auditor General in his report on the govt. settlement with Cayman General said he had concluded that the shares, which were given to Government for a consideration of anything between ***$28-50 million***, were actually worth less than $3 million. Govt’s stake is 24.76% A deal was now been concluded for a 75.24% stake for a price of $11.3 m which means that govt’s stake is worth about $3.7m. It seems that the Auditor was pretty accurate both in his estimate of value and in his conclusion that we were s***wed over, all at the hands of our champion negotiator, the Premier.
you overlook the fact that Cayman General would likely have gone under if the Government hadn’t stepped in, and that would have had far worse consequences than losing $25m.
at least we know now what the Government’s shares are worth – time to sell them.
I haven’t overlooked anything; try to stay on track. The point is why were we only getting 25% of the shares if these were worth only a tiny fraction of the debt owed to us? We may not have wanted to be the controlling shareholder, but why not 49%? Why were we deceived into believing that we had got $28m plus value when in fact it was only around $3m? Why did we not get tag-along rights so that any purchase of their interest would have to include ours? It has long since been time to sell them. Why are we looking at divesting other essential assets without first divesting an asset that we definitely do not need?
Before giving the standard UDP response, please THINK.
What the XXXX is going on with these Insurance companys? As soon as the public begin to have some faith in a company then you hear that they are selling out. Also years ago agents had to be of a certain calibre, now any XXXX and dog can sell.