Liberty unveils new M&A offering in Asia Pacific citing demand

Liberty Global Transaction Solutions (GTS), a part of Liberty Mutual, has launched its contingent legal risk insurance (CLRI) M&A product into the Asia Pacific market, citing increasing demand for insurance tools that can help smoothen the dealmaking by removing litigation hurdles from the transaction process.

Liberty said the move follows “exponential growth” in the local M&A market. The new product is designed to complement its existing regional warranties & indemnity (W&I) and Tax Liability insurance offerings, already available in this market.

The CRLI product offers protection from identified legal risks that might otherwise prevent or adversely impact transactions, or which might result in one party bearing a greater exposure to that risk than they desire. It also enables cash to be released that is otherwise trapped or held against a contingency by using insurance capital to replace that cash collateral, the company explained. Each CLRI policy is unique and tailored to the specific legal risk to be insured.

Rowan Bamford, president at Liberty GTS, said: “There has been an increasing appetite for W&I insurance in Asia Pacific for the last few years, highlighting the increased acceptance of M&A insurance as a valuable tool during transactions. The launch of our CLRI product continues our drive to help buyers and sellers throughout the Asia Pacific region through a range of highly-effective transactional risk products.

Will Lewis, head of Asia Pacific at Liberty GTS, said: “The CLRI product was launched in Asia Pacific following increasing demand from our clients for insurance tools which could help them to further smooth their dealmaking. This product enables both parties to remove litigation hurdles from the transaction process and release corporate funds that would otherwise need to be set aside to pay out potential damages.”

Did you get value from this story?  Sign up to our free daily newsletters and get stories like this sent straight to your inbox.