NEW YORK (Reuters) ? Security Capital Assurance Ltd., a Bermuda-based holding company for XL Capital Ltd.?s financial guaranty insurance business, raised about $460.2 million yesterday in its initial public offering, below the forecast range, according to an underwriter.

The 22.45 million share offering, which represents about a 35 percent stake in the company, priced at $20.50 a share, less than the $21 to $23 forecast.

The offering price gives the company an initial market capitalisation of about $1.3 billion.

The company offered about 18.01 million shares, while parent company XL Insurance (Bermuda) Ltd. sold about 4.44 million shares, according to an amended prospectus filed with the U.S. Securities and Exchange Commission.

Security Capital plans to use proceeds of the sale for general corporate purposes and as capital for its insurance and reinsurance subsidiaries.

For the three months ended March 31, the company earned $21.4 million, compared with $25.5 million a year earlier, while revenue dipped to $44.6 million from $45.4 million.

Shares of Allied World Assurance Holding Ltd., also a Bermuda-based insurance and reinsurance company, started trading on the New York Stock Exchange on July 12. Shares of the company priced at $34, the bottom of a forecast range, but rose 2.8 percent or 96 cents in its debut. Allied World shares closed at $34.51 on Tuesday.

Security Capital has been approved to list its shares on the New York Stock Exchange under the symbol ?SCA?.