IRB-Brasil Resseguros SA has reach two agreements to accelerate its growth following a secondary share offering that turned it into a fully publicly held corporation.
The company announced a subscription agreement to buy an 8.93% stake in Switzerland-based B3i Services AG for €3.5 million. At the same time, it reached a 10-year operational reinsurance deal with Banco C6 SA and C6 Corretora de Seguros Ltda.
Under the latter deal, IRB-Brasil will be the leading reinsurer of the credit life insurance business generated on C6's platform. Retention of the generated business will be split 85% for IRB-Brasil and 15% for the insurer.
The C6 agreement also includes other business segments, except for health, auto and dental lines. It does not include payments by IRB-Brasil beyond the reinsurance commission on a market basis.
"This [C6] deal is part of IRB-Brasil Re's wider strategy to sign partnerships with Brazilian and South American fintechs with value propositions similar to the company's," the company said in a statement.
The B3i Services stake purchase will give IRB-Brasil the right to appoint one member to B3i's board and to participate in setting the firm's strategic guidance.
B3i is a global technology development firm that focuses on the insurance and reinsurance segments, including the registration of transactions through a blockchain platform.