Bermuda-based property catastrophe reinsurer IPC Holdings, Ltd. announced that it had closed a public offering of its shares, and arranged a private placement with American International Group, that would provide it with additional capital of around $547 million.
The public offering of 15,200,00 shares at $26 per share was increased when the underwriters, Morgan Stanley and Goldman Sachs exercised their option for an additional 2,280,000 shares bringing total net proceeds to $437,437,000 from the public offering.
The Private placement with AIG involved 2,847,000 shares purchased concurrently with the public offering at $26 per share, and an additional sale of 2,775,000 shares to AIG when it exercised its option to purchase them at $12.7746 per share. This transaction netted IPC an additional $109,471,515.
President and CEO Jim Bryce said in the announcement “we are very pleased to have been able to increase our capital by $547 million to meet the needs of our clients for reinsurance capacity. We look forward to employing our new capacity.”|”ipc, holdings, raises, $547, million, in, additional, capital
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