Loeb Drops Possible Buyout of $1.6 Billion Reinsurer SiriusPoint

Hedge fund manager Dan Loeb said he’s no longer exploring an acquisition of specialist insurance underwriter SiriusPoint Ltd.

(Bloomberg) — Hedge fund manager Dan Loeb said he’s no longer exploring an acquisition of specialist insurance underwriter SiriusPoint Ltd. 

Loeb held exploratory discussions with Bermuda-based SiriusPoint about a potential deal to take the company private, but the parties weren’t able to reach consensus on the value of a transaction, according to a regulatory filing Friday. 

The investor, who runs Third Point LLC, reiterated he has “total confidence” that SiriusPoint’s management team is taking the right steps to strengthen its balance sheet and enhance its credit ratings. He’s “fully supportive” of the company’s fixed income and hedging program, Loeb said in the filing. 

Shares of SiriusPoint, which underwrites insurance and reinsurance, fell as much as 23% in pre-market New York trading Friday. It had a market value of about $1.6 billion at Thursday’s close.

Loeb owns about 9.3% of SiriusPoint, which underwriters insurance and reinsurance, according to data compiled by Bloomberg. He said last month that he was exploring a bid for SiriusPoint as he felt it could best execute its turnaround strategy as a private company.

More stories like this are available on bloomberg.com

©2023 Bloomberg L.P.