By David Bull

Jan 21 - (The Insurer) - Specialty insurer Global Indemnity has completed an “extensive” reorganisation code-named “Project Manifest” through the creation of wholesale commercial, vacant express, collectibles and specialty products divisions, separate tech and claims businesses, and the de-stacking of its insurance companies.

The move to de-stack the insurance companies has resulted in an increased consolidated surplus, which the company said would allow for more efficient management of capital and liquidity.

Global Indemnity said the new divisional operating structure enhances the Penn-America operation by creating separate and distinct businesses for each division, which will improve branding, attract talent and expand relationships with its distribution partners.

The company added that the newly formed Kaleidoscope Insurance Technologies and claims business Liberty Insurance Adjustment Agency will continue to support Penn-America and create the foundation to offer products and services to other insurance industry participants.

Fox Paine & Company – the private equity and advisory firm owned by Global Indemnity chairman Saul Fox – was the company’s financial advisor for Project Manifest.

In December 2023, Global Indemnity said it had suspended an exploration of a sale of either itself or its Penn-America subsidiary.

On the company’s Q1 2024 earnings call, CEO Jay Brown said Global Indemnity had held M&A conversations with James River but they were “on pause” at the time.

In June 2023, Global Indemnity had announced that multiple parties had expressed preliminary interest in a variety of potential deals to acquire or merge with SME-focused Penn-America, or possible a transaction for the entire business.