HAMILTON, Bermuda, Nov. 30, 2010 (GLOBE NEWSWIRE) -- Maiden Holdings, Ltd. ("Maiden") (Nasdaq:MHLD) today announced that it has completed its acquisition of the majority of the reinsurance-related infrastructure, assets and liabilities of U.K.-based GMAC International Insurance Services, Ltd. ("GMAC International Insurance"), including renewal rights on nearly $100 million of predominantly personal auto quota share reinsurance as well as the supporting business development subsidiaries in Europe. "We are excited about the opportunities that the GMAC International Insurance transaction provides as we continue to build out and enhance our disciplined, low-volatility, relationship-oriented model," said Art Raschbaum, President and CEO of Maiden. "This transaction achieves our goal of expanding the existing Maiden model outside the U.S. and Bermuda, and positions us well to begin to serve the non-catastrophic reinsurance needs of property and casualty insurance clients across Europe and in other select markets. We welcome the talented team there, led by Ron Judd, and are confident in our ability to profitably grow this unique auto-centric reinsurance services platform and continue to generate attractive returns for our shareholders." The transaction includes the assumption of more than $100 million of loss reserves and net unearned premiums as well as the corresponding assets, and was funded through existing cash and investments. GMAC International Insurance primarily focuses on providing branded auto and auto-related insurance products through its insurer partners to retail customers in the European Union and other global markets. Maiden expects the transaction to be accretive to 2011 earnings, and to generally perform within its overall stated targets of a 96% combined ratio and medium-term ROE target of 15%. About Maiden Holdings, Ltd. Maiden Holdings, Ltd. is a Bermuda-based holding company formed in 2007. Through our subsidiaries which are each A- rated (excellent) by A.M. Best, we are focused on providing non-catastrophic, customized reinsurance products and services, to small and mid-size insurance companies in the United States and Europe. As of September 30, 2010, the company had $2.8 billion in assets and shareholders' equity of $758 million.
The Maiden Holdings, Ltd. logo is available at http://www.globenewswire.com/newsroom/prs/?pkgid=5006Forward-Looking Statements This release contains "forward-looking statements" which are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. The forward-looking statements are based on the Company's current expectations and beliefs concerning future developments and their potential effects on the Company. There can be no assurance that actual developments will be those anticipated by the Company. Actual results may differ materially from those projected as a result of significant risks and uncertainties, including non-receipt of expected payments, changes in interest rates, effect of the performance of financial markets on investment income and fair values of investments, developments of claims and the effect on loss reserves, decreases in existing and new client projected premiums, accuracy in projecting loss reserves, the impact of competition and pricing environments, changes in the demand for the Company's products, the effect of general economic conditions, adverse state and federal legislation, regulations and regulatory investigations into industry practices, developments relating to existing agreements, heightened competition, changes in pricing environments and changes in asset valuations. The Company undertakes no obligation to publicly update any forward-looking statements, except as may be required by law. Additional information about these risks and uncertainties, as well as others that may cause actual results to differ materially from those projected is contained in Item 1A. Risk Factors in the Company's Annual Report on Form 10-K for the year ended December 31, 2009.
CONTACT: Maiden Holdings, Ltd. Investor Contact: Ellen Taylor 856.359.2573 firstname.lastname@example.org