Blue Capital completes $75m share placement

Blue Capital Management, the third-party capital management arm of Montpelier Re, has completed its placing programme, launched in April 2013.

The latest share placement, originally meant to be completed in March, was postponed on March 26, 2014.

The company has issued, in aggregate, 72,351,028 ordinary shares raising gross proceeds of $75.3 million pursuant to the programme.

Proceeds will be invested in fully collateralised reinsurance contracts and other insurance linked investments. The majority of the net proceeds raised are expected to be invested in catastrophe reinsurance contracts at the June and July reinsurance renewals.

Blue Capital was formed in June 2013 and went public at the beginning of November last year.