SiriusPoint to sell ArmadaCare to Ambac for $250 million

HAMILTON, Bermuda - SiriusPoint Ltd. (NYSE:SPNT), currently valued at $2.09 billion with a stock price of $17.88, announced Monday it has agreed to sell its wholly owned supplemental health insurance program manager, ArmadaCare, to Ambac Financial Group Inc. for $250 million. According to InvestingPro data, SiriusPoint maintains a GOOD Financial Health Score of 2.82, suggesting strong operational stability.

The global specialty insurer and reinsurer will maintain its capacity partnership with ArmadaCare through the end of 2030 despite the ownership change. Upon completion of the transaction, SiriusPoint expects to recognize a pre-tax gain of $220-230 million, with the deal valuing ArmadaCare at approximately 14 times EBITDA. This transaction adds to SiriusPoint’s already solid financial performance, with InvestingPro data showing the company generated $380.8M in EBITDA and $2.79B in revenue over the last twelve months.

The sale is projected to increase SiriusPoint’s pro-forma tangible book value by approximately 10% when finalized. The transaction is expected to close in the fourth quarter of 2025, subject to regulatory approvals and customary closing conditions. For deeper insights into SiriusPoint’s valuation and growth prospects, investors can access comprehensive analysis through the Pro Research Report, available exclusively on InvestingPro.

"The sale of our equity stake is an important step in unlocking the significant off-balance sheet value of Armada," said Scott Egan, SiriusPoint’s Chief Executive Officer, according to the company’s press release. The company has demonstrated strong financial performance, with InvestingPro data showing profitability over the last twelve months with net income of $105.6 million.

SiriusPoint, headquartered in Bermuda with offices in New York, London, and Stockholm, maintains approximately $2.8 billion in total capital. Its operating companies hold an A- (Excellent) financial strength rating from AM Best, S&P and Fitch, and A3 from Moody’s.

ArmadaCare specializes in supplemental health insurance solutions designed to enhance standard health benefits.

Jefferies LLC acted as SiriusPoint’s exclusive financial advisor for the transaction, with Paul Hastings LLP serving as legal advisor.

In other recent news, SiriusPoint reported second-quarter earnings that exceeded analyst expectations, highlighting improved underwriting performance and strong premium growth. The company’s core combined ratio stood at 89.5%, which is a key indicator of profitability in the insurance industry. Additionally, SiriusPoint announced the appointment of Martin Hudson as a Board Director, effective September 1, 2025. Hudson brings over 40 years of experience in international insurance and reinsurance leadership to the role. He has previously served as an Independent Non-Executive Director and Chair for multiple companies, including SiriusPoint International Insurance Corporation. These developments reflect SiriusPoint’s strategic focus on strengthening its leadership and financial performance.

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