Randall&Quilter(R&Q)has signed an agreement to purchase the entire issued share capital of Alma Insurance Company,subject to change of control approval by the FSA.

Under the terms of the accord,R&Q will pay 4.4m($7.05m)in cash for Alma Insurance,a discount to the estimated adjusted net asset value.

The Finnish domiciled run-off reinsurer will be managed by R&Q Insurance Services,following the completion of transaction.

R&Q chief executive Ken Randall said that the new agreement to acquire Alma is a part of company's plan to find new legacy portfolios to meet return criteria.

"Regulatory approval is expected to be received by year end,"Randall added.

Randall&Quilter Investment Holdings owns and manages insurance companies in run off in the UK,Europe,the US,Canada,and Bermuda.

Since 1989,Alma has been in run-off and comprises international reinsurance business with net reserves of about 1.6m as of 30 September 2012.