Sydney-based Assetinsure is confident it has a “bright future” under new owner Lombard Australia, which acquired the business for an undisclosed price from failed New Zealand insurer CBL Corporation.

Last Friday the Australian Prudential Regulation Authority gave clearance for the sale, which was announced last November as part of an asset sale program by CBL’s then voluntary administrator KordaMentha.

“With the regulatory approvals for the acquisition received, we are delighted that the Assetinsure Group has a bright future with the support of a strong and stable shareholder,” CEO Gregor Pfitzer said.

The business will continue trading under the same name, and the new owner is supportive of the direction of the company.

Lombard Australia is a holding company made up of an alliance of surety providers. The company is co-ordinated by Lombard Insurance, which has a working relationship with Assetinsure going back to more than 10 years.

“The new owners are happy with the positioning of the company in the market and look forward to support the continued profitable growth of Assetinsure,” Mr Pfitzer told insuranceNEWS.com.au today.

“No name change is planned. Part of the rationale is to make use of the established brand name as a specialist insurer in mainly corporate areas of business.”

When the sale to Lombard was announced last year, Mr Pfitzer told insuranceNEWS.com.au the ownership change provided “certainty around Assetinsure’s future.”

The financial troubles of CBL Corporation affected Assetinsure last year, with pre-tax profit down by $2.4 million to $5.4 million.