OneBeacon declares special dividend

NEW YORK

OneBeacon Insurance Group Ltd. will pay a special dividend of $2.50 per share, on top of the regular quarterly payment of 21 cents, the company said Wednesday.

In all, the company said it will be distributing $256 million to shareholders.

The company has been stung recently by catastrophes that have pushed more claims its way.

Second-quarter net income this year fell to $8.6 million, compared with $128.2 million during the same time last year.

But OneBeacon has also sold off two major businesses, including its personal lines business.

"Having completed two major transactions to transform the company into a specialty carrier and free capital from underperforming businesses, this large dividend returns a significant portion of currently undeployed capital to shareholders while maintaining adequate capitalization and proper financial leverage," said CEO Mike Miller.

The company, based in Bermuda, said the dividend will be paid out Sept. 7 to shareholders on record as of Aug. 31.