Bermuda-based bond insurer Assured Guaranty Corp. last night announced its business of guranteeing US public finance projects rose by 134 percent in January, compared to the same month a year ago.

Assured said it provided guaranties on 114 US public finance new issue transactions, totalling $2.8 billion of par or 12 percent of total new issue US public finance volume during last month.

The company avoided the problems of many of its peers in the financial guaranty business by largely avoiding the insurance of collateralised debt obligations backed by sub-prime mortgages. Because of that, it has managed to maintain its triple-A credit ratings from Fitch and Standard & Poor's, and is also rated Aa2 by Moody's.

Billionaire investor Wilbur Ross has ploughed hundreds of millions of dollars into the company.

"During the first month of 2009, Assured guaranteed several deals for over $100 million in sectors that play crucial roles in the development of our states and municipalities," commented Bill Hogan, senior managing director of Assured's Public Finance Group. "Assured is dedicated to helping municipal issuers access the market at cost-effective rates while also providing investors with the benefit of Assured's financial strength and careful due-diligence."

The company's activity during this month included several notable transactions in the energy, infrastructure and healthcare sectors, with seven transactions exceeding $100 million in par insured.