The British invasion into the Bermuda reinsurance market goes on.

Lloyd's of London reinsurer Advent Capital Holdings announced yesterday that the Bermuda Monetary Authority had issued a class 3 reinsurer licence to its Bermuda-based subsidiary Advent Re. The company's initial capitalisation is approximately $37.5 million.

Advent is another in the wave of Lloyd's underwriters, including Catlin, Hiscox and Omega, who have either established Bermuda subsidiaries or have redomiciled to Bermuda.

"Initially, Advent Re intends to take advantage of attractive market conditions to underwrite a limited number of retrocessional contracts, a segment of the reinsurance market in which the Advent Group has participated as a leading underwriter for over 30 years," the company said in a statement.

"Advent Re will have access to business through the Advent Group's longstanding relationships with clients and brokers and an experienced underwriting team in Brian Caudle, chairman and Duncan Lummis, chief underwriting officer."

The establishment of Advent Re "completes the company's plan to establish a new Bermudian reinsurance platform, as announced on December 7, 2006," the announcement went on.

"I am delighted that we have established Advent Re at such an opportune time," Mr. Caudle added. "I look forward to leading its development as our second reinsurance platform whilst continuing oversight of our Lloyd's operations and the broader strategic goals of the Group."

Advent Capital (Holdings) PLC is a Lloyd's insurer that manages and participates on Syndicate 780 and for 2007. It will now also be able to write business through Advent Re in Bermuda. Advent's business is predominantly short tail property reinsurance and insurance, specialising in catastrophe coverage. Canada's Fairfax Financial Group has a 44.46 percent stake in the company.