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Brookfield Asset Management’s reinsurance unit agreed to take insurer Argo Group International ARGO-N private in a $1.1-billion deal, as the Canadian firm looks to expand its footprint in the U.S. property and casualty insurance market.

The unit, Brookfield Reinsurance BNRE-T, said on Wednesday it will offer a $30 cash payment to shareholders of Argo, representing a premium of about 7 per cent to the stock’s last close, after the merger completes in the second half of 2023.

Argo offers casualty insurance for the manufacturing and services sectors in the United States. The company also has an international presence in regions including Bermuda, London, the Middle East and North Africa, according to its website.

There have been a string of tie-ups in the past few months between insurers and asset managers, who are looking for ways to boost the amount of money they manage.

Asset managers and private equity firms have also been a conduit for publicly listed companies to exit the stock market at a time when few others are willing to do deals, as companies prioritize cost cuts over mergers and acquisitions.

In May last year, Brookfield Reinsurance took another insurer, American National Group Inc, private in a 5.1 billion deal. Meanwhile, Blackstone Inc invested $500-million in life insurer Resolution Life under a partnership in October.