Kestrel Group and Maiden Holdings merger creates a new publicly-traded specialty insurance platform

This transaction creates a new publicly-traded specialty program insurance platform operating under the Kestrel Group Ltd name, with trading transitioning from Maiden's MHLD ticker to the new KG symbol on May 28.

Maiden Holdings and Kestrel Group have completed their merger, creating a new publicly-traded specialty program insurance platform with a capital-light structure and strategic growth opportunities.

The combined entity, operating under the Kestrel Group Ltd name, will commence trading on the New York Stock Exchange under the KG symbol on Monday, May 28. This follows Maiden's stock being delisted on Friday, May 26.

The merger marks a significant strategic transformation for both entities, integrating Kestrel's program management expertise with Maiden's public company status and capital markets experience.

The combined entity's business model is designed around a capital-light, fee-based structure, providing exclusive access to A.M. Best A- rated insurance carriers owned by AmTrust Financial Group.

Furthermore, Kestrel Group maintains an option to acquire these carriers from AmTrust, offering a strategic pathway to vertical integration without immediate capital requirements.

This transaction represents the culmination of Maiden's strategic pivot, transitioning from its previous business model to a specialty program group with broad ambitions in property/casualty insurance segments across the United States.

The transaction structure allows the combined entity to leverage Maiden's existing public listing and potentially some of its capital resources while adopting Kestrel's operational focus.

The executives highlighted the favorable market opportunities for specialty insurance and the importance of selectively deploying underwriting capacity.

The leadership structure combines Kestrel's expertise in program management and technology with Maiden's financial experience, aiming to create complementary executive capabilities.

"We are excited to launch Kestrel Group and to embark on this exciting new chapter in the coming weeks," said Ledbetter. "This merger brings together the best of both companies to create a unique and valuable public company with a capital-light model for rapid expansion in lucrative specialty insurance segments."

Haveron added: "This transaction will allow the combined company to capitalize on valuable market opportunities and to continue to return capital to shareholders. We look forward to updating the investment community on the Kestrel Group story in the coming months."

Investors can access further details on the transaction consideration in the 8-K filing referenced in the release.