R&Q Insurance to Sell Insurance and Program Management Unit to Canada’s Onex

Bermuda-based global specialty insurance firm R&Q Insurance Holdings said on Friday it would divest its insurance and program management business, Accredited, to Onex Corp. for an enterprise value of $465 million.

Proceeds from the sale, expected to be around $300 million, would be used to significantly pare R&Q’s debt.

The sale, likely to close by the first half of 2024, is conditional on transfer of R&Q’s chief executive officer, William Spiegel, and Chief Financial Officer Thomas Solomon to Accredited upon closing.

R&Q Announces Capital Raise of $50M-$60M, Completes Reorganization

After the deal’s closing, group Non-Executive Chairman Jeff Hayman would be appointed as chairman and interim CEO of R&Q, while company insider Paul Bradbrook would be appointed as CFO.

R&Q in April had said it was reviewing strategic options to separate Accredited and its legacy insurance business.

(Reporting by Akshita Toshniwal; editing by Krishna Chandra Eluri and Shilpi Majumdar)