AmTrust, Blackstone partner for MGA spin-off

Core Viewpoint - AmTrust Financial Services is collaborating with Blackstone Credit & Insurance to spin off certain managing general agencies (MGAs) and fee businesses into a new independent entity, while maintaining a ten-year capacity agreement for underwriting existing business [1][3]. Group 1: Spin-off Details - The spin-off will include seven subsidiaries: Abacus, AmTrust Nordic, ANV, Arc Legal, Collegiate, Qualis, and Risico, which provide various risk and insurance coverages [2]. - The new company is expected to employ over 700 individuals and will be led by Adam Karkowsky as chairman and CEO [2][4]. Group 2: Leadership and Management - Adam Karkowsky will be supported by Joseph Brecher as chief financial officer and Jacob Decter as chief operating officer in the new company's executive leadership [3][4]. - AmTrust chairman and CEO Barry Zyskind expressed confidence in the leadership team to drive the new company towards success [3]. Group 3: Future Operations - The transaction is anticipated to conclude by the end of 2025, subject to customary closing conditions and regulatory approvals [4]. - Post-transaction, AmTrust will continue its operations as a multinational insurance company with approximately 6,000 employees [4].