New Ocean Strategic Relationship With Mitsui
New Ocean Capital Management Limited, along with its major shareholders, XL Group Ltd and Stone Point Capital, has announced a newly formed strategic relationship with Mitsui & Co., Ltd.
Mitsui has committed an initial $100 million of proprietary investment capital to New Ocean’s private fund platform on a multi-year basis, and will endeavor to source additional capital by 2020.
As part of this strategic transaction, Mitsui also purchased a 15% stake in New Ocean from its existing shareholders. In addition a Mitsui representative will join the Board of New Ocean, alongside existing representatives from XL, Stone Point Capital, and Management. XL remains the majority shareholder in New Ocean.
Chris McKeown, CEO of New Ocean, commented, “We are delighted to welcome Mitsui as an investor and owner. Mitsui has invested with New Ocean since 2014, and the substantial commitment to our strategies as well as their ownership stake is validation of New Ocean’s unique platform.
“Mitsui’s commitment to New Ocean provides the ability to draw investor capital, over time, at key renewal dates in the reinsurance calendar, as opportunities present themselves. Mitsui is a bellwether investor with substantial global relations and reach, which we anticipate will bring substantial value to the continued growth of our business.”
Craig Wenzel, Head of Alternative Capital at XL, added, “Mitsui’s increased investment in New Ocean reflects the growth and development of the New Ocean platform and it’s gratifying to see such a high caliber corporate investor join the New Ocean family.
“New Ocean is a cornerstone to XL’s long-term commitment to alternative capital, which will increasingly become more relevant in our business going forward.”
Takashi Nakai, General Manager of Insurance Business Department at Mitsui, commented, “We are very excited to increase our investment with New Ocean and partnering with XL, Stone Point, and Management, to help New Ocean grow.
“We decided to grow our affiliation with New Ocean due to the experience and expertise of its investment team led by Chris McKeown, and its differentiated access to risk, which combines market-facing capabilities with an affiliation with XL and its substantial distribution network.
“At Mitsui, we are committed to building long-term businesses that will benefit Mitsui and other investors over time. For this reason, we are pleased to join New Ocean as a strategic investor, at a time when we believe ILS / reinsurance will become more appealing to institutional investors in Japan, and across the globe.”
New Ocean Capital Management Limited is a Bermuda-based asset manager founded by XL and Stone Point Capital in 2013 to provide unique access to the traditional re/insurance market, the collateralized reinsurance market and the reinsurance capital markets.
