AM Best Comments on Credit Ratings of BF&M Limited and Its Subsidiaries Following Announcement of Share P
AM Best has commented that the Credit Ratings of BF&M Limited (BF&M) and its insurance subsidiaries, BF&M Life Insurance Company Limited, BF&M General Insurance Company Limited and Island Heritage Insurance Company, Ltd. (Cayman Islands) remain unchanged following Argus Group Holdings Limited's announcement of a share purchase agreement for a large minority interest in BF&M currently owned by Camellia Plc (Camellia). All companies are domiciled in Hamilton, Bermuda, unless otherwise stated.
On June 6, 2023, Argus Group Holding Limited announced that its subsidiary, Bermuda Life Insurance Company, entered into a share purchase agreement to acquire the 36.9% shareholding in BF&M currently held by a subsidiary of Camellia, an international group focused on agricultural business. Camellia's desire to divest its shareholding prompted BF&M to conduct a review of strategic alternatives in the second half of 2022, which included the possible sale of the company. Upon conclusion of the review, BF&M announced its intent to continue to operate on a standalone basis. The share purchase requires regulatory and tax approvals and is expected to close in late third-quarter 2023 to fourth-quarter 2023. AM Best expects BF&M to continue its normal course of business operations and financial position remaining unaffected by this share purchase agreement.