Press release from Business Wire
Validus Holdings, Ltd. Announces Special Purpose Vehicle AlphaCat 2014, Ltd.
Wednesday, January 08, 2014
Validus Holdings, Ltd. Announces Special Purpose Vehicle AlphaCat 2014, Ltd.16:15 EST Wednesday, January 08, 2014
PEMBROKE, Bermuda (Business Wire) -- Validus Holdings, Ltd. (“Validus” or the “Company”) (NYSE: VR) announced today that it has joined with other investors in capitalizing AlphaCat 2014, Ltd. (“AlphaCat 2014”) and has fully deployed its capital. AlphaCat 2014 is a special purpose vehicle formed for the purpose of writing collateralized reinsurance and retrocessional contracts for the 1/1/2014 renewal season. AlphaCat 2014 has been funded with $160 million of equity capital, with third party investors contributing $138 million or 86.25% of the funding and the balance provided by Validus.
Ed Noonan, Chairman and Chief Executive Officer of Validus, commented: “AlphaCat 2014 reflects the continued importance of Validus' franchise in the global property catastrophe reinsurance market. We are pleased with the significant level of investor support which reflects on the scale of Validus' operations, the skill of our underwriting team and the AlphaCat infrastructure we have developed to manage third party capital.”
AlphaCat Managers, Ltd. will underwrite business for AlphaCat 2014, for which it will be paid a commission for originating the business and a profit commission based on the vehicle's underwriting results.
About Validus Holdings, Ltd.
Validus Holdings, Ltd. is a provider of reinsurance, insurance, and insurance linked securities management operating through three primary segments, Validus Reinsurance, Ltd., Talbot Holdings Ltd. and AlphaCat Managers, Ltd. Validus Reinsurance, Ltd. (“Validus Re”) is a Bermuda based reinsurer focused on short tail lines of reinsurance. Talbot Holdings Ltd. (“Talbot”) is the Bermuda parent of the specialty insurance group primarily operating within the Lloyd's insurance market through Syndicate 1183. AlphaCat Managers, Ltd. (“AlphaCat”) is a Bermuda based investment adviser managing capital for third parties and the Group in insurance linked securities and other property catastrophe reinsurance investments.
Validus Holdings, Ltd.
Radina Russell / Beau Allen