Bermuda-based Axis Capital Holdings Limited announced today it would acquire the business and operations of the Australian managing general agent Dexta Corporation Pty Ltd. Financial terms were not disclosed.
Axis said in a statement that the agreement includes Dexta shareholders, Ironbridge Capital, Dexta Holdings NV and other shareholders in the minority.
The transaction is expected to close in January 2009 and will be subject to regulatory and other customary closing conditions.
Axis, a special lines insurance and treaty reinsurance provider, said it will be expanding its reach in Australia through the acquisition.
The firm said Dexta, with locations in Sydney, Melbourne, Brisbane and Adelaide, specializes in professional indemnity, directors and officers, information technology, and similar insurance lines throughout Australia with a primary focus on small and middle-market business.
Axis Specialty Australia, the Australian branch of Axis Specialty Europe, will conduct its usual business as well as the newly acquired business, the company said.
To help facilitate the transition, Dexta managing director Tony Wheatley will join Axis as country manager for Australia.
Axis Capital has locations in the United States, Europe, Singapore and Canada as well as Australia.
Dennis Reding, chief operating officer of Axis Capital, said in a statement, "Dexta is a recognized leading franchise in the Australian general insurance market. Since 2005, Axis has served as the exclusive carrier for Dexta professional lines programs."
He added that the acquisition represents "a key strategic step for our regional expansion strategy in Australia. We expect to continue to deliver the quality of service which has distinguished the Dexta franchise over the years in the Australian market. We also expect to enhance this platform to provide additional products in the region over the coming years."
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