06:55 AM EST, 12/18/2025 (MT Newswires) -- Howard Hughes (HHH) said Thursday it has entered a definitive agreement to acquire privately held specialty insurance and reinsurance company Vantage Group, a specialty insurance and reinsurance company backed by Carlyle (CG), for about $2.1 billion.

Under the agreement, Howard Hughes will fund the acquisition with about $1.2 billion cash and up to $1 billion of non-interest-bearing, non-voting preferred stock issued to Pershing Square, the company said.

The preferred stock will be split into 14 equal tranches and Howard Hughes said it will have the right to repurchase one tranche at the end of each fiscal year during the first seven years following the closing.

Pershing Square will manage Vantage Group's investment portfolio on a fee-free basis, the company said.

The transaction is expected to close in Q2 2026, subject to regulatory approvals and closing conditions.

Howard Hughes said the acquisition adds a lower-risk and higher-return business that diversifies its sources of long-term value.

Shares of Howard Hughes were up 1.2% in recent Thursday premarket activity.