Fitch reviews Sirius, affirms White Mountains

Fitch Ratings said it placed Sirius International Group, Ltd.'s issuer default rating of BBB+, senior debt rating of BBB and operating subsidiaries' insurer financial strength ratings of A on Rating Watch Evolving.

The agency also affirmed White Mountains Insurance Group, Ltd.'s issuer default rating at BBB+.

Fitch said the action follows the July 27 announcement that China Minsheng Investment Co., Ltd. (CMI) will purchase from White Mountains all of its outstanding shares of Sirius' parent, Sirius International Insurance Group, Ltd., for $2.2 billion, or about 1.3 times tangible book value, in an all-cash transaction. Fitch does not rate CMI.

The transaction is expected to close in the next six months and is subject to regulatory approvals.

Fitch said the transaction offers Sirius a better opportunity to grow and expand business in Asia, especially in China, which are markets that management has previously targeted for expansion.

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