Ambac Financial Group To Acquire ArmadaCare From SiriusPoint For $250M

Author: Benzinga Newsdesk | September 29, 2025 05:08pm

Ambac Financial Group, Inc. ("Ambac") (NYSE: AMBC), an insurance holding company, today announced it has entered into a definitive agreement to acquire ArmadaCare, a leading supplemental health insurance program manager, from SiriusPoint Ltd. ("SiriusPoint") (NYSE: SPNT) for $250 million.

Headquartered in Hunt Valley, Maryland, ArmadaCare specializes in innovative supplemental health and workplace benefit products tailored to employer needs. ArmadaCare's unique insurance benefits complement primary healthcare plans and give companies the extra edge they need to compete for talent. The strategic combination will materially accelerate the growth and scale of Ambac's distribution platform, strengthen specialty product diversification, and expand relationships with distribution and capacity partners.

"The addition of ArmadaCare materially accelerates the growth and scale of our distribution platform, strengthens specialty product diversification, and expands relationships with distribution and capacity partners," said Ambac President and Chief Executive Officer Claude LeBlanc. "Led by CEO Ed Walker, the ArmadaCare team has a proven track record of building a successful business with exceptional leadership and a clear vision of how to compete and succeed in their niche market. We are pleased to welcome them to the Ambac family as a highly valuable addition to our platform."

Ed Walker, Chief Executive Officer of ArmadaCare, said, "We could not be more excited to join the Ambac family of MGAs. Ambac's commitment to empowering their MGAs, coupled with our deep relationships with long-term underwriting partners, will fuel the continued growth and future success of our business and further establish our position as a leading health insurance solutions provider."

Scott Egan, Chief Executive Officer of SiriusPoint, added, "We are delighted to continue our long-term capacity agreement with Armada and look forward to the team continuing to drive strong underwriting performance for our Accident and Health segment. We wish the team well for an exciting new chapter under the ownership of Ambac."

Compelling Strategic & Financial Rationale

• Diversifying Distribution Business with Non-Correlated Market: This transaction expands Ambac's presence in the attractive Accident & Health sector while further broadening its distribution platform across products and business lines in markets that are non-correlated, enhancing resilience and growth potential.
• Differentiated Business Model with Sustainable Moat: ArmadaCare's white-glove service and deep regulatory expertise deliver a premium, differentiated offering that drives superior retention and creates a durable competitive advantage over low-cost alternatives.
• Deeply Integrated Carrier Relationships, Based on Long-Term Track Record of Performance: ArmadaCare will continue its valued partnership with current capacity providers, including through a new five-year commitment with SiriusPoint.
• Complementary Capabilities with Revenue Synergy Opportunities: ArmadaCare offers a highly complementary product offering to Ambac's existing A&H businesses, providing a strong distribution network with direct C-suite access, bringing significant cross-sell opportunities.
• Strengthens Financial Profile: The transaction is expected to materially accelerate Ambac's path toward its 2028 EBITDA targets and become accretive to Ambac shareholders by 2026, delivering clear and measurable value creation.

Transaction Details

Under the terms of the agreement, Ambac has agreed to acquire ArmadaCare from SiriusPoint for $250 million. Ambac expects to finance the transaction through a combination of cash on hand and newly issued debt, comprising a $120M commitment by Truist Bank for a new $100M Term Loan A and $20M revolving credit facility. Upon completion of the transaction, Walker will continue to lead the health insurance business alongside his full management team.

The transaction has been approved by the boards of both companies and is subject to the satisfaction of customary closing conditions and customary regulatory approvals. The transaction is not subject to a financing out and is expected to close in the fourth quarter of 2025.

Posted In: AMBC SPNT