Platinum to Issue Senior Notes, Preferred Shares

Bermuda-based Platinum Underwriters Holdings Ltd. has announced that it proposes “to raise in the aggregate $250 million of gross proceeds through an offering of non- cumulative perpetual preferred shares and an offering of senior notes in transactions exempt from the registration requirements of the Securities Act of 1933.”

The bulletin indicated that the “preferred shares would be issued by Platinum Underwriters Holdings Ltd. The senior notes would be issued by Platinum Underwriters Finance Inc., a subsidiary of Platinum Underwriters Holdings Ltd., and guaranteed by Platinum Underwriters Holdings Ltd.

“The allocation between the offering of preferred shares and the offering of senior notes which will make up such $250 million will be determined based on market conditions at the time of the offerings.”

Platinum said it “intends to use the net proceeds from the offering of preferred shares and the offering of senior notes to increase the capital and surplus of its subsidiary Platinum Underwriters Bermuda Ltd. and one or more of its other reinsurance company subsidiaries and for other general corporate purposes.”

Topics Underwriting