TMCnet News
A.M. Best Places Ratings of Stonetrust Commercial Insurance Company Under Review With Negative ImplicationsOLDWICK, N.J. --(Business Wire)-- A.M. Best has placed under review with negative implications the financial strength rating of B++ (Good) and issuer credit rating of "bbb" of Stonetrust Commercial Insurance Company (Stonetrust) (Baton Rouge, LA). The rating actions result from disclosure of a proposed transaction under which Dhandho Holdings, LP acquires all of the interests of Stonetrust Commercial Mutual Insurance Holding Company, Stonetrust's parent entity and make a capital investment that would double Stonetrust's capital and surplus. The ratings will remain under review for as long as the proposed transaction is pursued or closed and the completion of A.M. Best's analysis of the impact the ransaction will have on Stonetrust's ratings. The transaction, if finalized, is expected to close in the third quarter of 2014, subject to customary closing conditions, including policyholder and regulatory approval. The methodology used in determining these ratings is Best's Credit Rating Methodology, which provides a comprehensive explanation of A.M. Best's rating process and contains the different rating criteria employed in the rating process. Best's Credit Rating Methodology can be found at www.ambest.com/ratings/methodology. A.M. Best Company is the world's oldest and most authoritative insurance rating and information source. For more information, visit www.ambest.com. Copyright © 2014 by A.M. Best Company, Inc. ALL RIGHTS RESERVED. |
