Benfield sells Lancashire holding

Benfield has sold its holding of warrants to subscribe for 7,625,217 common shares in Lancashire. Benfield received the warrants as part consideration for its role in establishing the Bermudan reinsurer in December 2005.

The warrants have been sold to JP Morgan Securities, with Benfield receiving gross proceeds of $19.5m from the sale.

Grahame Chilton, Benfield chief executive, said: “Lancashire has almost completed its first full year of operations and we are delighted to have been associated with establishing such a successful Bermudian insurer. In line with our policy of retaining a focus on our core intermediary business, we have now taken this opportunity to sell our holding.”