Fidelis Raises Additional $185 Million Of Capital
Fidelis Insurance Holdings Limited announced “that in the fourth quarter of 2020 it has raised an additional $60 million of equity capital from existing and new investor relationships including Alfa Insurance and affiliated companies [Alfa] with which Fidelis has a long-standing relationship.”
A spokesperson said, “Additionally, the Company has raised from institutional investors $125 million of 6.625% Fixed-Rate Reset Junior Subordinated Notes due 2041 [Notes] which are redeemable at the option of the Company at each interest reset date which occurs every five years. The Notes have received Tier 2 capital treatment under the Bermuda Monetary Authority’s Group Supervision Rules.
“Over the past year, the Company has raised over $1.3 billion of capital to support its growth plan taking Fidelis’ total capital to over $2.4 billion.”
Richard Brindle, Chairman and CEO of Fidelis, said: “We are very pleased to have Alfa as our latest equity investor. We have built a strong relationship with the Alfa team over the years through their quota share support of our underwriting and our participation on their treaties. Their equity investment further cements our partnership and long-term relationship.
“Having raised over $1.3 billion of capital in the past year, we have been able to take advantage of the hardening market conditions and have the financial and human resources to continue to build on our existing portfolio in 2021.”
John Hemmings, Senior Vice President, CFO and Chief Investment Officer of Alfa Insurance said: “We are excited about this opportunity to broaden our relationship and expand our partnership with Fidelis as equity shareholders.
“We have great respect and admiration for the Fidelis management team’s proven track record and have great confidence in their ability to generate successful growth and financial strategies in the future. Alfa Insurance seeks to be a long-term partner and is dedicated to helping Fidelis build a successful and profitable company.”
