RQIH LN

Randall & Quilter Investment Holdings Ltd

Finance/Real Estate, Event Driven/Special Sit


Presented:03/27/2023
Price:£0.73
Cap:$0.42B
Current Price:£0.00
Cap:$0.00B

Presented

Date03/27/2023
Price£0.73
Market Cap$0.42B
Ent Value$0.95B
P/E RatioN/A
Book Value£0.75
Div Yield0%
Shares O/S374.57M
Ave Daily Vol204,255
Short IntN/A

Current

Price£0.00
Market Cap$0.00B
R&Q Insurance Holdings Ltd. provides insurance services in the non life insurance sector and management services of run off solvent insurance companies. The company focuses on portfolio administration and management, premium credit control, reinsurance collections, claims management, and accounting services. It operates through the following segments: Program, Legacy, and Other. The Program segment provides program capacity through its licensed platforms in the U.S. and Europe. The Legacy segment acquires legacy portfolios and insurance debt and provides capital support to the Group’s managed Lloyd’s Syndicates. The Other segment includes the holding company and other non-core subsidiaries which fall outside of the segments above. The company was founded by Alan Kevin Quilter and Kenneth Edward Randall in 1991 and is headquartered in Hamilton, Bermuda.

Publicly traded companies mentioned herein: R&Q Insurance Holdings Ltd (RQIH LN)

Highlights

The presenter is long shares of R&Q Insurance Holdings Ltd (RQIH LN), a UK-listed non-life insurance company that has been a messy special situation story. In 1H’22, private equity shareholder 777 Partners was going to take R&Q private at GBp175 through its insurance business Brickell PC Insurance Holdings. However, other shareholders seemed to view this price as too low and rejected the acquisition. The company then shifted focus to filling a capital hole by raising $100MM, but the damage was done; the stock collapsed almost 50% and continued to fall over the remainder of 2022. Despite this issue, the presenter sees an attractive turnaround story based on an ongoing business model transition. If RQIH can execute and avoid further write-downs over the rest of the year and into 2024, he thinks the stock can more than double from the current GBp75 per share.

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Idea Discussion

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