Specialist Lloyd's insurer Chaucer Holdings' wholly-owned subsidiary ALIT has offered to buy £39.9m of capacity of Syndicate 1084 for the 2004 year of account.
The syndicate is expected to have capacity of £400.2m for 2004.
ALIT could pay up to £4.4m for the capacity.
The news comes as Chaucer was approved by Lloyd's to increase its capacity for Syndicate 1096 for 2003 to £190m from £159.7m.
