Arch Capital Group Ltd. (ACGL, Financial) has announced significant leadership changes and a special cash dividend, as detailed in their recent Form 8-K filing with the Securities and Exchange Commission. Effective immediately, David Gansberg and Maamoun Rajeh have been appointed as Presidents of the company. This strategic move aims to bolster the company's leadership team and drive future growth.
David Gansberg, who has been with Arch Capital since 2001, brings extensive experience from his previous role as CEO of the Global Mortgage Group. His career at Arch has seen him in various leadership positions, including President and CEO of Arch Mortgage Insurance Company. Maamoun Rajeh, also a long-time member of the Arch team, has served as Chairman and CEO of Arch Worldwide Reinsurance Group since 2017. His tenure at Arch Re Bermuda began in 2001, where he has held several key roles.
In conjunction with these appointments, Arch Capital has amended the employment agreements for both Gansberg and Rajeh, setting their base salaries at $900,000 per annum with annual target bonuses of 185% of their base salary. Additionally, the company has approved special outperformance equity awards for Gansberg, Rajeh, and Francois Morin, the Executive Vice President, Chief Financial Officer, and Treasurer. These awards, valued at $21 million each for Gansberg and Rajeh, and $3 million for Morin, include premium-priced stock options and time-vested restricted shares.
Furthermore, Arch Capital has declared a special cash dividend of $1.9 billion, equating to $5.00 per outstanding common share. This dividend will be payable on December 4, 2024, to shareholders of record as of November 18, 2024. The company also announced dividends for its Series F and Series G preferred shares, payable on December 31, 2024, to holders of record as of December 15, 2024.
These strategic decisions reflect Arch Capital's commitment to enhancing shareholder value and strengthening its leadership team to navigate future challenges and opportunities in the insurance and reinsurance markets.
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