Ambac Financial shares surge 17.49% after-hours as rebranding to Octave Specialty Group and Q3 insurance distribution revenue growth of 80% signal strategic transformation and operational momentum.

Ambac Financial surged 17.49% in after-hours trading following its rebranding to Octave Specialty Group and the release of third-quarter results highlighting strategic transformation and growth. The company announced a rebranding to emphasize its focus on specialty insurance, rebranding subsidiaries like Cirrata Group and Beat Capital Partners, and outlined a $80 million EBITDA target by 2028. Despite a widened net loss of $32 million, the earnings call emphasized 40% organic growth in the insurance distribution segment, 23% operating margins, and disciplined capital allocation, including $3.1 million in share repurchases. Management reiterated confidence in its post-legacy business strategy, with Everspan’s premium outlook exceeding $400 million in 2026 and controlled interest expenses. The rebranding, combined with improved operational metrics and future growth guidance, likely drove the sharp post-market rally as investors responded positively to the company’s renewed strategic focus and execution progress.