Enstar is beginning 2017 with news it is acquiring a non-insurance entity. The Bermuda-based insurance group disclosed that its Enstar Holdings arm is snatching up Dana Companies for $91.5 million.

Dana Companies supplies “highly engineered drivetrain, sealing and thermal management technologies” for vehicles, Enstar noted in its announcement. As well, the operation holds liabilities connected to personal injury asbestos and environmental claims from its legacy manufacturing operations.

According to Enstar, Dana Companies’ assets of interest include insurance rights connected to coverage against those liabilities and marketable securities.

Enstar describes itself on its website as a company “established to acquire and manage insurance and reinsurance companies in run-off and to provide management, consulting and other services to the insurance and reinsurance industry.” The Dana Companies acquisition falls precisely within this corporate description, said Enstar Chief Executive Officer Dominic Sylvester.

Sylvester said in prepared remarks that the deal “complements our core business of managing legacy liabilities and our specific expertise in asbestos, and we are pleased to have worked with Dana to provide an effective resolution to the asbestos liabilities arising from historic operations.”

He noted that this is the first time Enstar made an acquisition outside of the insurance industry, a move Sylvester asserted shows Enstar’s ability “to deliver legacy and capital release solutions to this broader market sector” as it continues to grow its business.

Enstar isn’t just growing through acquisition, however. It is a major investor behind KaylaRe, a new carrier that launched in December focused on global specialty reinsurance coverage.

Source: Enstar