Orascom Inv Regulatory News (OIH)

14 Jan 2009 07:00



14 January 2009

Omega Insurance Holdings Limited ("Omega" or the "Company")

Special Interim Dividend

On 8 December 2008 Omega Insurance Holdings Limited ('Omega') (AIM: OIH) announced a £130m placing of new common shares ('Placing Shares'). The Company's market capitalisation at that date was approximately £218m. As this fund raising was taking place towards the end of the Company's 2008 financial year and the proposed date for admission of the Placing Shares to AIM was set at 30 January 2009, the directors were of the opinion that a dividend, if any, to be paid to shareholders in relation to financial performance of Omega during the second half of the financial year, should be paid to shareholders on the register prior to 30 January 2009, and this was set out in the circular to shareholders dated 9 December 2008.

After the Company's announcement on 20 October 2008 providing information on Hurricanes Ike and Gustav and our investment performance, market consensus was that Omega would break even in the second half of the 2008 financial year. The Company's estimated financial performance for the second half of the 2008 financial year remains in line with those market expectations.

The Board is pleased to be able to declare a special interim dividend, in lieu of a final dividend for the 2008 financial year, of US$0.01 per common share payable on 17 February 2009 to shareholders on the register at 6.00pm on 23 January 2009. The dividend is payable in US dollars but those shareholders wishing to receive it in pounds sterling may elect to do so by no later than 6.00pm on 23 January 2009. Details will shortly be available on the Company's website www.omegauw.com. Dividends paid in pounds sterling will be converted at the closing exchange rate prevailing on 23 January 2009.

Omega announced on 8 January 2009 that the resolutions set out in its Notice of Special General Meeting dated 9 December 2008 relating to the placing of 92,857,142 new common shares were duly passed by shareholders.

Application will be made for the admission of the Placing Shares to trading on AIM. It is expected that admission of the Placing Shares will become effective and that dealings in these will commence at 8.00 a.m. on Friday 30 January 2009. 

Contacts: 

Richard Tolliday, Chief Executive Officer, Omega +1 441 294 6610

John Coles, Threadneedle Communications +44 20 7653 9848

Notes to Editors

Omega became the holding company of the Omega group of companies (the 'Omega Group') on 9 November 2006 when the scheme of arrangement of Omega Underwriting Holdings PLC (the Omega Group's previous holding company and now wholly-owned by Omega) ('OUH') became effective. On the same date the common shares of Omega were admitted to trading on AIM, the admission of OUH's shares to trading on AIM was cancelled and OUH was re-registered as a private limited company.

The Omega Group, through its wholly owned subsidiary, Omega Underwriting Agents Limited, acts as a Lloyd's managing agent for Syndicate 958 and in February 2006 established a new insurance and reinsurance business, Omega Specialty Insurance Company Limited ('Omega Specialty'), based in Bermuda. In September 2006 Omega incorporated a new surplus lines insurer, Omega US Insurance, Inc. ('Omega US Insurance'), in Delaware which is held under a Delaware incorporated intermediate holding company Omega US Holdings, Inc.

• Syndicate 958

Syndicate 958's capacity for the 2009 year of account is £249 million. The Syndicate has made an underwriting profit in every closed year of account since its inception in the 1980 year of account. The Syndicate has focused predominantly on short-tail property insurance and reinsurance, insuring small to medium sized insureds and reinsuring smaller insurance companies.

On 27 May 2008, the A.M. Best Company, Inc.  reaffirmed the Syndicate's Financial Strength Rating 

of 'A' (Excellent) and an Issuer Credit Rating of 'a+' (Excellent). 

• Omega Specialty

Omega Specialty received its license from the Bermuda Monetary Authority in February 2006 as a Class 3 insurer and was capitalised at US$172 million. Since then, Omega Specialty's premium income has been predominantly derived from its reinsurances of Syndicate 958 and the Omega Group's Lloyd's corporate member, Omega Dedicated, together with its increasing book of third party reinsurances where it seeks to underwrite business of a similar type and composition to be complementary to that underwritten by Syndicate 958.

On 27 May 2008, the A.M. Best Company, Inc. reaffirmed Omega Specialty's Financial Strength 

Rating of 'A-' (Excellent).

• Omega US Insurance

Omega US Insurance is an insurance company licensed in the state of Delaware and underwrites on a surplus lines basis in other US States. Omega US Insurance is currently eligible to write surplus lines business in 41 US jurisdictions and will underwrite in all other states once it has been granted the requisite eligibility in each US State. It was capitalised at US$50 million from the net proceeds of a share placing by OUH in October 2006.

On 3 December 2007, Omega US Insurance received a Financial Strength Rating from A.M. Best Company, Inc. of 'A-' (Excellent).