Artex acquires protected cell ILS specialist

Artex Risk Solutions, subsidiary of broker Arthur J Gallagher, is to buy a company that offers protected cell company (PCC) facilities to the insurance-linked securities (ILS) industry – a move it said strengthens its offering in this sector.

The company has entered into a definitive agreement to acquire the cores of Guernsey-domiciled Hexagon Insurance PCC and its subsidiaries. The deal is expected to close on the 31 of March 2016.

Established in August 2011, Hexagon is part of Robus Group, founded by the late Chris Le Conte. The deal includes the company’s three subsidiaries: Axe Insurance PCC, Septagon Insurance PCC and Hexagon ICC.

Nick Heys, chief executive officer of Artex’s international operations, said: “Hexagon’s expertise and legacy of innovation is well-known in the alternative capital segment of our industry.

“This merger, in addition to the recently announced acquisition of Kane’s ILS and structured transaction administration services, positions us as a leading player in this field. We are excited to welcome Justin Wallen and Ben Dunning to the Artex family,”

David McManus, president of Artex Risk Solutions, added: “Hexagon’s widely recognised European ILS expertise combined with Kane’s stature in the Bermuda and Cayman markets, instantly establishes Artex as a leading global ILS services provider with scale, depth and diversity that few, if any, can match.

“As we continue to expand, Artex is committed to lead innovation across the full range of alternative risk management solutions in order to better match our clients’ and business referral partners’ developing needs.”