EC gives go-ahead for Quinn Insurance restructuring

THE go-ahead for the restructuring of Quinn Insurance (QIL) — including a change of ownership and a €700 million compensation injection — has been granted by the European Commission (EC).

Yesterday’s EC approval for a €738m pay-out to QIL’s new owners, from the Irish insurance compensation fund — the role of which is to cover losses of insurance companies — follows on from last week’s Irish High Court approval of the takeover of QIL by a consortium consisting of US insurance giant, Liberty Mutual and Quinn Group creditor, Anglo Irish Bank.

The consortium — 51% controlled by Liberty — initially agreed to buy QIL earlier this year.