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STONE POINT CAPITAL ANNOUNCES FORMATION OF HARBOR POINT LIMITED AND ACQUISITION OF THE ONGOING BUSINESS OF CHUBB RE
Greenwich, CT, October 25, 2005 — Stone Point Capital LLC today announced the formation of Harbor Point Limited, a global reinsurance company to be based in Bermuda. Harbor Point is expected to have an initial capitalization of approximately $1.5 billion and is expected to commence underwriting in Bermuda upon receipt of regulatory approval for its Bermuda reinsurance subsidiary, Harbor Point Re Limited. Harbor Point will acquire the ongoing business of Chubb Re, Inc., a subsidiary of The Chubb Corporation (NYSE: CB), including the renewal rights to Chubb Re's in-force book of business. Trident III, L.P., a private equity fund managed by Stone Point Capital, and The Chubb Corporation are the lead investors in Harbor Point.
Harbor Point will be led by John Berger as President and CEO. Mr. Berger has 28 years of experience in the reinsurance industry and has served as President and CEO of Chubb Re since 1998. Prior to joining Chubb Re, Mr. Berger served as President and Chief Executive Officer of F&G Re from 1996 to 1998. Stephen Friedman, a Senior Advisor to Stone Point Capital, will serve as non-executive Chairman of Harbor Point. Mr. Friedman was formerly Chairman of Goldman, Sachs & Co.
Through Trident III, Stone Point invests exclusively in the financial services sector, and has historically focused primarily on the insurance sector. "We are delighted to be partnering with John Berger and his team" said Charles A. Davis, CEO of Stone Point. "A number of our previous ventures, including ACE, XL, Mid Ocean and AXIS, have addressed supply and demand imbalances in the insurance and reinsurance markets. Harbor Point is in the tradition of these previous investments. We have enjoyed a long and close relationship with Chubb and are delighted to be working with them in forming Harbor Point."
"We are excited about this next step in the development of our business" said John Berger. "The team at Chubb Re has received great support from Chubb over the past seven years, and we believe this transaction is an optimal way to maximize the potential of this business both for Chubb and for our other stakeholders."
Harbor Point Re has filed a business plan with regulators in Bermuda and hopes to receive approval to operate as a Class 4 reinsurer in Bermuda, after which the company expects to approach A.M. Best and Standard & Poor's for ratings. Harbor Point also expects to have a subsidiary based in Bernardsville, New Jersey.
Stone Point Capital LLC is a global private equity firm based in Greenwich, Connecticut. Stone Point Capital serves as the manager of the Trident Funds, which have raised more than $3 billion in committed capital to make investments in the insurance, employee benefits and financial services industries. Prior to the formation of Stone Point Capital in 2005, the principals of the firm led the private equity firm MMC Capital, Inc.
The Chubb Corporation is one the largest property and casualty insurance companies in the United States, with total assets of $44 billion and shareholders' equity of $10 billion as of December 31, 2004. Chubb provides property and casualty and specialty insurance to individuals and businesses worldwide, distributing its products and services through independent insurance agents and brokers principally in the United States, Canada, Europe, Australia, and parts of Latin America and Asia. Chubb was formed in 1882 and is headquartered in Warren, New Jersey.
Contact Information:
Charles A. Davis
Stone Point Capital LLC
(203) 862-2900
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