A.M. Best assigns indicative ratings of "bbb-" on senior debt, "bb+" on subordinated debt and "bb" on preferred stock. No plans to offer securities currently.
Ratings agency A.M. Best assigned indicative ratings of "bbb-" on senior debt, "bb+" on subordinated debt and "bb" on preferred stock of Validus Holdings' recently filed universal shelf registration. The outlook for all ratings is stable.
The shelf registration allows Validus to issue any of the following securities: common shares, preferred shares, depositary shares, debt securities and other securities. The terms of any offering by Validus under the registration statement will be established at the time of the offering. The net proceeds from any issuance would be used for general corporate purposes.
A.M. Best expects that any issuance under the registration will be used to support growth and enhance financial flexibility. There are no plans to offer or sell any securities at this time. Following any debt issuances, Validus' debt-to-adjusted capital would be expected to be in the mid 20% range or better, with fixed charge coverage sustained in the high single digit range.
Validus offers both primary and reinsurance coverage for property, marine and specialty lines of business on a worldwide basis through its Bermuda and Lloyd's operating platforms.