Debevoise & Plimpton LLP advised Harbinger Group Inc. (“HGI”) and its subsidiary, Front Street Re (Cayman), Ltd. (“Front Street Re”), in the acquisition of Ability Reinsurance (Bermuda) Limited (“Ability Re”) by way of a merger of Ability Re with and into Front Street Re, with Front Street Re as the surviving entity. As a consequence of the transaction, Front Street Re has assumed a reinsurance agreement with Ability Insurance Company, a Nebraska domiciled insurance company, which will cede approximately $350 million of insurance business to Front Street Re. The acquired business will come with approximately $32 million of statutory capital.
HGI is a diversified holding company. Its principal operations are conducted through companies that: offer life insurance and annuity products; offer branded consumer products (such as consumer batteries, residential locksets, residential builders' hardware, faucets, shaving and grooming products, personal care products, small household appliances, specialty pet supplies, lawn, garden and home pest control products, and personal insect repellents); provide asset management services, including asset-backed loans, high-yield investing, infrastructure lending and real estate investing; and own energy assets. HGI is principally focused on acquiring controlling and other equity stakes in businesses across a diversified range of industries and growing its existing businesses. In addition to HGI's intention to acquire controlling equity interests, HGI may also make investments in debt instruments and acquire minority equity interests in companies.
The Debevoise team was led by counsel Michael D. Devins and included partner Vadim Mahmoudov and associates Alison E. Buckley-Serfass, Susan E. Moser, Daniel Priest, Michael G. Stern and Chen Xu.
Debevoise & Plimpton LLP is a leading international law firm, representing a wide range of clients in transactions and disputes around the world. Founded in 1931, the firm has offices in New York, Washington, D.C., London, Paris, Frankfurt, Moscow, Hong Kong and Shanghai.
