RenaissanceRe Holdings Ltd. Announces Pricing of $750 Million Senior Notes Offering
01 Giugno 2023 - 12:29AM
Business Wire
RenaissanceRe Holdings Ltd. (NYSE:RNR) (“RenaissanceRe” or the
“Company”) announced today that it has agreed to sell in an
underwritten public offering $750 million aggregate principal
amount of 5.750% Senior Notes due 2033. The Company expects to
close the offering on or about June 5, 2023, subject to the
satisfaction of customary closing conditions.
The Company intends to use the net proceeds from this offering
to fund a portion of the cash consideration for the previously
announced acquisition of certain subsidiaries of American
International Group, Inc., including Validus Holdings, Ltd.,
Validus Specialty, LLC and Validus Reinsurance Ltd. (the “Validus
Acquisition”), to pay related costs and expenses, and for general
corporate purposes.
The senior notes are expected to be rated A3 by Moody’s
Investors Service, BBB+ by Standard & Poor’s, and A- by Fitch
Ratings. Morgan Stanley, Barclays, HSBC, Wells Fargo Securities,
and BofA Securities served as joint book-running managers.
The notes are being offered pursuant to an effective shelf
registration statement that has been filed with the Securities and
Exchange Commission (the “SEC”). This press release does not
constitute an offer to sell or a solicitation of an offer to buy
nor shall there be any sale of securities in any state or
jurisdiction in which such offer, solicitation or sale would be
unlawful prior to registration or qualification under the
securities laws of any such state or jurisdiction. Any offer, or
solicitation to buy, if at all, will be made solely by means of a
prospectus and related prospectus supplement filed with the SEC.
You may obtain these documents without charge from the SEC at
www.sec.gov. Alternatively, you may request copies of these
materials from the joint book-running managers by contacting Morgan
Stanley & Co. LLC toll-free at 1-866-718-1649; Barclays Capital
Inc. toll-free at 1-888-603-5847; HSBC Securities (USA) Inc.
toll-free at 1-866-811-8049; Wells Fargo Securities, LLC toll-free
at 1-800-645-3751; and BofA Securities, Inc. toll-free at
1-800-294-1322.
About RenaissanceRe
RenaissanceRe is a global provider of reinsurance and insurance
that specializes in matching well-structured risks with efficient
sources of capital. The Company provides property, casualty and
specialty reinsurance and certain insurance solutions to customers,
principally through intermediaries. Established in 1993, the
Company has offices in Bermuda, Australia, Ireland, Singapore,
Switzerland, the United Kingdom and the United States.
Cautionary Statement Regarding Forward-Looking
Statements
Any forward-looking statements made in this Press Release
reflect RenaissanceRe’s current views with respect to future events
and financial performance and are made pursuant to the safe harbor
provisions of the Private Securities Litigation Reform Act of 1995.
We may also make forward-looking statements with respect to our
business and industry, such as those relating to our strategy and
management objectives, plans and expectations regarding our
response and ability to adapt to changing economic conditions,
market standing and product volumes, and insured losses from loss
events, among other things. These statements are subject to
numerous factors that could cause actual results to differ
materially from those addressed by such forward-looking statements,
including those disclosed in RenaissanceRe’s filings with the SEC,
including its Annual Reports on Form 10-K, Quarterly Reports on
Form 10-Q and the following: the size, timing and results of the
offering, the risk that the Validus Acquisition may not be
completed within the expected timeframe or at all; the risk that
regulatory agencies in certain jurisdictions may impose onerous
conditions following the Validus Acquisition; difficulties in
integrating the acquired business; risk that the due diligence
process that we undertook in connection with the Validus
Acquisition may not have revealed all facts that may be relevant in
connection with the Validus Acquisition; our ability to manage the
growth of the acquired business’ operations successfully following
the Validus Acquisition; that historical financial statements of
Validus Reinsurance Ltd. are not representative of the future
financial position, future results of operations or future cash
flows of Validus Reinsurance Ltd. following the Validus
Acquisition; risks from our increased debt obligations as a result
of the Validus Acquisition; the Company’s dilutive impact on our
shareholders from the issuance of common shares to American
International Group, Inc. in connection with the Validus
Acquisition; the Company’s exposure to natural and non-natural
catastrophic events and circumstances and the variance it may cause
in the Company’s financial results; the effect of climate change on
the Company’s business, including the trend towards increasingly
frequent and severe climate events; the effectiveness of the
Company’s claims and claim expense reserving process; the effect of
emerging claims and coverage issues; the performance of the
Company’s investment portfolio and financial market volatility; the
effects of inflation; the ability of the Company’s ceding companies
and delegated authority counterparties to accurately assess the
risks they underwrite; the Company’s ability to maintain its
financial strength ratings; the highly competitive nature of the
Company’s industry and its reliance on a small number of brokers;
collection on claimed retrocessional coverage, and new
retrocessional reinsurance being available on acceptable terms or
at all; the historically cyclical nature of the (re)insurance
industries; the Company’s ability to attract and retain key
executives and employees; the Company’s ability to successfully
implement its business strategies and initiatives; the Company’s
exposure to credit loss from counterparties; the Company’s need to
make many estimates and judgments in the preparation of its
financial statements; the Company’s ability to effectively manage
capital on behalf of investors in joint ventures or other entities
it manages; changes to the accounting rules and regulatory systems
applicable to the Company’s business, including changes in Bermuda
and U.S. laws and regulations; other political, regulatory or
industry initiatives adversely impacting the Company; the Company’s
ability to comply with covenants in its debt agreements; the effect
of adverse economic factors, including changes in prevailing
interest rates and recession or the perception that recession may
occur; the effect of cybersecurity risks, including technology
breaches or failure; a contention by the U.S. Internal Revenue
Service that any of the Company’s Bermuda subsidiaries are subject
to taxation in the U.S.; the effects of possible future tax reform
legislation and regulations in the jurisdictions in which we
operate; the Company’s ability to determine any impairments taken
on its investments; the Company’s ability to raise capital on
acceptable terms, including through debt instruments, the capital
markets, and third party investments in our joint ventures and
managed funds; the Company’s ability to comply with applicable
sanctions and foreign corrupt practices laws; and the Company’s
dependence on the ability of its operating subsidiaries to declare
and pay dividends.
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version on businesswire.com: https://www.businesswire.com/news/home/20230531005979/en/
Investors: RenaissanceRe Holdings Ltd. Keith McCue Senior Vice
President, Finance & Investor Relations 441-239-4830
Media: RenaissanceRe Holdings Ltd. Hayden Kenny Vice President,
Investor Relations & Communications 441-239-4946
Kekst CNC Nicholas Capuano 917-842-7859
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