Ambac Financial Group, Inc. (NYSE: AMBC) announced today that it has completed the sale of its legacy financial guarantee businesses—Ambac Assurance Corporation and Ambac Assurance UK Limited—to funds managed by Oaktree Capital Management for $420 million in cash. The Wisconsin Office of the Commissioner of Insurance issued its final approval of the transaction, allowing Ambac to fully divest its legacy guarantee operations and focus on its core specialty property & casualty and insurance distribution businesses.
In a separate announcement, Ambac disclosed that it has entered into a definitive agreement to acquire ArmadaCare, a leading supplemental health program manager, from SiriusPoint Ltd. for $250 million. The deal will be financed with $120 million of new debt, comprising a $100 million term loan and a $20 million revolving credit facility, and ArmadaCare will continue to be led by CEO Ed Walker and its existing management team.
The completion of the legacy business sale removes a non‑core asset from Ambac’s balance sheet, replenishing capital and enabling the company to accelerate its transformation into a pure‑play MGA and specialty insurance platform. The ArmadaCare acquisition expands Ambac’s product portfolio into supplemental health, diversifying revenue streams and strengthening its distribution network through a proven program manager with a strong client base.
Ambac expects the ArmadaCare transaction to close in the fourth quarter of 2025, while the legacy business sale has already closed. The company will host an investor call at 8:30 am ET to discuss the strategic implications of both transactions and outline its next‑phase growth plan.
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