Talcott Launches Reinsurance Sidecar with Goldman Sachs

Talcott Financial Group has launched West Grove Re, a Bermuda-domiciled reinsurance sidecar, in partnership with Goldman Sachs. The new vehicle has closed a capital raise of approximately $1bn, which includes equity commitments from Talcott and Goldman Sachs Asset & Wealth Management (AWM) and its clients, alongside a credit facility.

The funding will support accelerated growth across Talcott's insurance and reinsurance platform, enabled by Sixth Street and Talcott’s open architecture asset management model and partnership approach. West Grove Re will take part in a quota share of certain Talcott-sourced US annuities, while the group provides it with support services covering actuarial, finance, compliance, and risk.

Talcott CEO Imran Siddiqui said: “Establishing West Grove Re is another important step in Talcott’s growth strategy, broadening our access to liabilities with varied costs of capital, while staying true to the strength of our platform as we continue to scale.”