XL Group’s Shareholders Approve Move to Bermuda from Ireland

XL Group plc announced that its ordinary shareholders have approved a scheme of arrangement that will change the place of incorporation of the ultimate parent holding company to Bermuda from Ireland, which is expected to be completed in the third quarter of this year.

“We are pleased that our shareholders are supportive of our plan to set up our corporate home in Bermuda,” said XL’s Chief Executive Officer Michael S. McGavick.

“Given, in particular, our long-standing and substantial operations in Bermuda that have been bolstered by the Catlin Group Ltd. acquisition, and Bermuda’s position within the international re/insurance market, including Bermuda’s recent achievement of Solvency II equivalency, we believe a change in the country of domicile of our parent company to Bermuda will be advantageous to the company and its shareholders,” he said.

The redomestication remains subject to receipt of necessary regulatory approvals, satisfaction of other conditions and sanctioning by the High Court of Ireland, said the company, noting that a hearing before the court is currently scheduled for July 20, 2016.

XL does not expect the redomestication to have any material impact on its financial results, including the company’s global effective tax rate.

To effect the redomestication, a new Bermuda exempted company, XL Group Ltd., will replace XL Group plc as the ultimate holding company of the XL Group of companies, and the company’s ordinary shareholders will receive one common share of the new Bermuda company in exchange for each ordinary share of the company held by them.

Related:

• XL Group Proposes Moving Domicile to Bermuda from Ireland

Topics AXA XL