Arch Capital plans Greensboro headquarters, but impact unclear

Dec. 30--GREENSBORO -- Now that Arch Capital Group has decided to locate its headquarters in Greensboro after its $3.4 billion purchase of United Guaranty, it's unclear what this means for United Guaranty's Greensboro employees.

Arch Capital Group will move its headquarters from Hamilton, Bermuda, to Greensboro, N.C. Insurance Commissioner Wayne Goodwin said just before Christmas. The company held $7.60 billion in capital on June 30, 2016, and provides insurance and reinsurance worldwide through its wholly owned subsidiaries, according to the company.

United Guaranty says on its website that it employs a total of 900 people, more than 600 of those in Greensboro.

A United Guaranty company spokesman declined to comment on the merger's effect. Arch Capital could not be reached for comment Friday.

The N.C. Department of Insurance approved the merger Dec. 19, according to a news release, making the new company the largest insurer in the nation.

"I always strive to recruit companies to North Carolina that will encourage growth, and I believe Arch Capital Group's choice to invest in the Tar Heel state will benefit everybody," Goodwin said in a news release. "This acquisition is great for North Carolina business and I am excited for what promises to be an enormous economic impact."

American International Group Inc., which had owned United Guaranty, sold the company as AIG's chief executive officer, Peter Hancock, worked to simplify his company, Bloomberg Markets reported.

Bloomberg reported that the deal quickens AIG's exit from United Guaranty, which filed in March for an initial public offering. AIG sought a valuation of about $4 billion through an IPO, people familiar with the company's plans said in May.

Contact Richard M. Barron at (336) 373-7371 and follow @BarronBizNR on Twitter.

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