Universal Holdings, parent company of Universal Property and Casualty Insurance Co., Florida’s largest private P&C carrier, announced it had placed $100 million in notes to aid in future growth plans.
The oversubscribed private placement was for 5.625% senior unsecured notes that are due in 2026, the publicly traded company said in a news release.
Universal (NYSE: UVE) plans to use the proceeds for general corporate purposes and as capital for growth. It noted that primary rate increases continue to earn for the company’s book of business.
“We are very pleased to have completed this private placement to further our growth and to optimize our cost of capital, with strong demand from the top-tier investor community,” said CEO Stephen Donaghy.
Piper Sandler & Co. served as sole placement agent for the placement. Gibson, Dunn & Crutcher was legal counsel to the holding company, and the Mayer Brown law firm served as counsel to the placement agent. The Notes have not been registered under the Securities Act, or any state securities laws and may not be offered or sold in the United States without registration or an applicable exemption, the news release said.
Was this article valuable?
Here are more articles you may enjoy.