Munich Re takes majority shareholding in aerospace insurer

Reinsurance giant owns 51% with Berkshire Hathaway owning the balance

Munich Re takes majority shareholding in aerospace insurer

Insurance News

By Ryan Smith

Munich Re has agreed to purchase an additional 11% of the shares in aerospace insurance provider Global Aerospace Underwriting Managers Limited. Global is the company that manages the Global Aerospace Pool.

Munich Re already had a significant stake in Global. Following the acquisition, Munich will own 51% of the company. A subsidiary of Berkshire Hathaway will continue to own the remaining 49%. Munich Re’s share of the Global Aerospace Pool will increase by 5% starting January 01, 2019.

“We are fortunate in having the backing of two such strong and committed shareholders,” said Nick Brown, group CEO of Global. “Munich Re has long had a strategic interest in increasing its investment in Global, and this deal achieves that, while ensuring that Berkshire Hathaway continues to have a very significant interest.”

Brown said that the acquisition should be practically invisible to Global customers and employees.

“For our customers, pool-members and employees it is business as usual,” he said.

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