Arch Capital Group Ltd

+0.25 (+0.59%)
Divestitures / Spin-offs, Other Pre-Announcement

Westpac Banking Corp Sells Lenders Mortgage Insurance Business

Published: 03/18/2021 00:14 GMT
Arch Capital Group Ltd (ACGL) - Westpac Sells Lenders Mortgage Insurance Business.
Transaction is Expected to Add Approximately 7bps to Westpac's Common Equity Tier 1 Capital Ratio.
Will Record a Loss on Sale in FY21 From Separation and Transaction Costs Along With $84 Million Write Down in Goodwill.
Sale Price Will Be at Book Value Which Will Be Determined at Completion.
Transaction Also Includes Small, Fixed Annual Payments to Westpac Over Next 10 Years.completion of Transaction Expected to Occur by End of August 2021.
Transaction Proceeds Will Be Determined on Basis of Book Value at Completion, Which is Expected to Occur in 2h21.
Will Enter Into 10-year Exclusive Supply Agreement for Arch Capital Group to Provide Lenders Mortgage Insurance to Co.