Ariel Re announced that it has sponsored its first 144A index-triggered catastrophe bond (“cat bond”) issued by Bermuda special purpose insurer Titania Re Ltd. (“Titania Re”). Titania Re will provide USD 150 million of multi-year collateralised reinsurance cover to Ariel Re using an indexed industry loss trigger, protecting against North American named storms and earthquakes.
Ryan Mather, Chief Executive Officer of Ariel Re, commented: “We’re very pleased to announce the success of Ariel Re’s entrance into the cat bond market. This transaction supports Ariel Re in our mission to be the premier manager of reinsurance risk. Titania Re is an important part of our strategy and this partnership with valued ILS investors will benefit those investors, Ariel Re’s clients and our owners.”
Matthew Twilley, Head of Ceded at Ariel Re, added: “The strong demand from investors enabled us to execute the transaction with confidence; we are encouraged by this support for Ariel Re and aim to build on our relationships with ILS investors.”
The cat bond successfully closed on 16th June, 2021. TigerRisk Capital Markets & Advisory acted as Sole Structuring Agent and Joint Bookrunner, with Aon Securities LLC acting as Joint Bookrunner.
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