Company: KG
Filing Date: 2025-08-15
Form Type: 10-Q
Source: 0002055116-25-000018
Chunk: 380

Company: Kestrel Group Ltd
Filing Date: 2025-08-15
Form: 10-Q
Item: Item 2
Chunk 380
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able)($ in thousands)AmTrust Quota Share$(4,200)LPT/ADC Agreement(3,718)European Hospital Liability Quota Share5 Total AmTrust Prior Year Development$(7,913)

Net favorable PPD for the three and six months ended June 30, 2025 was $7.9 million which was largely due to foreign exchange fluctuations on loss reserves denominated in non-USD.

Commission and Other Acquisition Expenses — Commission and other acquisition expenses were negative $0.0 million for the three and six months ended June 30, 2025. 

General and Administrative Expenses — General and administrative expenses were $0.5 million for the three and six months ended June 30, 2025.

 64

Liquidity and Capital Resources  

Liquidity  

Kestrel Group is a holding company and transacts no business of its own. We therefore rely on cash flows in the form of dividends, advances, loans and other permitted distributions from our subsidiary companies to pay expenses and make dividend payments on our common shares. The jurisdictions in which our operating subsidiaries are licensed to write business impose regulations requiring companies to maintain or meet statutory solvency and liquidity requirements and also place restrictions on the declaration and payment of dividends and other distributions.

 As a result of the completion of the Combination on May 27, 2025, the Company has acquired significant investable assets and additional sources of investment income as discussed in Part I, Item 1 - Notes to Condensed Consolidated Financial Statements (unaudited) "Note 4. Investments" and "Note 15. Business Combination" included in this Form 10-Q. As of June 30, 2025, the Company had investable assets of $565.5 million compared to $4.3 million as of December 31, 2024. Investable assets include the combined total of our fixed maturity securities and other investments, cash and restricted cash including cash equivalents, net loan receivable from a related party and funds withheld receivable.

Maiden Reinsurance re-domesticated from Bermuda to Vermont on March 16, 2020. We are actively engaged with the Vermont DFR regarding Maiden Reinsurance's longer term business plan, including its investment policy, changes to which require prior regulatory approval as stipulated by Vermont law or the Vermont DFR for active underwriting, capital management or other strategic initiatives, including our Combination Agreement with Kestrel. Maiden Reinsurance has received all necessary approvals required to date