Kane to Acquire HSBC’s Insurance Management Operations

Kane, a provider of specialist risk and insurance management services, will acquire the insurance management operations of HSBC through an agreement that has been signed with HSBC Bank Bermuda Ltd., HSBC Bank Cayman Ltd. and HSBC Insurance Agency (USA) Inc.

Kane says it will acquire HSBC Insurance Holdings (Bermuda) Ltd., HSBC Insurance SPC Ltd., the insurance management business and assets of HSBC Bank (Cayman) Ltd., and HSBC Insurance Agency (USA) Inc. for a total amount of $27.5 million. The acquisition will be backed by private equity firm CBPE Capital, Kane notes.

Kane says HSBC will work to ensure a smooth integration of HSBC Insurance Management into the group. As part of the acquisition, set for completion on April 30, 2011, Kane says it has offered employment to all HSBC Insurance Management staff.