Oxbridge Re raises $26m through IPO
Oxbridge Re Holdings, the Cayman Islands-based property/casualty reinsurer backed by Tampa-based insurer HCI Group, has raised $26.4 million through initial public offering on the Nasdaq Stock Exchange.
The company sold 4,884,650 units, each consisting of one ordinary share and one warrant to purchase one ordinary share, at a public offering price of $6 per unit, before deducting placement agent fees.
The company said it plans to use the proceeds of the offering for additional capital for underwriting obligations and for general corporate purposes.
Capitol Securities Management and Henley & Company acted as co-managing placement agents for the offering.
Oxbridge Re was formed on the Cayman Islands in April 2013. It will provide fully collateralized reinsurance policies and other business solutions primarily to property/casualty insurers in the Gulf Coast region of the US.
The company has said it will specialise in underwriting medium frequency, high severity risks, where it believes sufficient data exists to analyse effectively the risk/return profile of reinsurance contracts.
