NEW YORK (AP) -- Reinsurer Endurance Specialty Holdings Ltd. said Tuesday that its CEO stepped down and was replaced by one of the company's newest and largest shareholders.
The Bermuda-based company said that David Cash resigned as CEO and as a member of the board. At the same time, William Bolinder, the company's chairman, moved to the role of lead director.
John Charman was elected chairman and CEO, effective immediately. Before joining Endurance, Charman and his family bought $30 million of the company's ordinary shares, making them one of its largest shareholders, and announced plans to reinvest the dividends they received, Endurance said.
Charman, 60, has 40 years of experience in the insurance industry. Most recently, he founded and served for 11 years as the CEO and president of Axis Capital Holdings Ltd.
Cash spent 11 years at Endurance, with the last three as CEO.
As part of his employment, Charman will receive an option to buy 800,000 of Endurance's ordinary shares at Tuesday's opening price of $48.68 and a grant of 708,890 restricted shares. The awards will vest over the next four years.
Charman will receive a minimal base salary and no incentive compensation over the next five years, the company said.
Endurance shares rose $1.49, or 3 percent, to $49.50 in morning trading.