Bermuda-based Torus yesterday announced additional equity investment of $185 million to support the continued expansion of its specialty re/insurance reinsurance business.

The additional financing, which is subject to regulatory approval and other customary conditions, will increase the global specialty insurer's equity capital to more than $1 billion.

Corsair Capital, a leading New York-based private equity firm specialising in the global financial services industry, will provide $150 million of equity capital.

The balance will come from private equity funds managed by First Reserve Corporation, a top private equity firm and Torus's founding investor and majority shareholder. Following the investment, Corsair will be represented on Torus' board of directors.

Torus chief executive Clive Tobin said: "We have an ambitious business plan and see a number of opportunities to deploy this capital profitably. We are extremely pleased to receive this endorsement of Torus from Corsair, an experienced investor in the financial services industry with a long and successful track record of supporting high growth insurance companies, at a time when capital is scarce.

"With First Reserve and Corsair, we have partners with enormous experience and expertise in key areas of our business; both add huge strength to our management team."

Nicholas Paumgarten, chairman of Corsair, said: "We are excited to be investing with a leading management team in the global specialty insurance sector with strong talent in the underwriting and risk management areas. This investment is consistent with our historical practice of partnering with highly experienced management teams."