Our insurance team advised AXIS Capital, the Bermuda-headquartered global re/insurer, in the creation and funding of its sidecar Alturas Re Ltd.
The total issuance size was USD 111.39 million as set out below:
- $5.3 million Series 2020-1(I) Class A Notes;
- $41.95 million Series 2020-1(I) Class B Notes; and
- $64.14 million Series 2020-2 (R) Class A Notes
The notes have a due date of 10 March 2023 and have been placed with qualified institutional investors.
The Alturas Re sidecar provides re/insurer AXIS Capital with fully collateralised reinsurance and retrocessional protection, given the two types of risk ceded through the vehicle, funded by capital market and insurance-linked securities (ILS) investors. AXIS' use of direct quota share arrangements with ILS investors has been an important piece of its capital stack in recent years, while the Alturas Re sidecar enables the firm to syndicate its risks more broadly.
Partner Brad Adderley led the transaction with assistance from Partner Gary Harris and Associate Laura Burns.