Log In

Reset Password
BERMUDA | RSS PODCAST

Blue Capital fund launches buyback

Blue Capital Global Reinsurance Fund Ltd is to start buying back its own shares because they have been trading below their net asset value, the fund said yesterday.

The company, which is a subsidiary of Bermudian-based Endurance Specialty Holdings Ltd, provides collateralised reinsurance.

Blue Capital said in a filing with the Bermuda Stock Exchange yesterday that the buyback plan stemmed from the board of directors' belief that the company's shares were undervalued.

The statement read: “Since launch of the company, the annualised net asset value return (adjusted for dividends) to May 31, 2016 has been 8.6 per cent. However, over the past 15 months the company's ordinary shares have been trading at a discount to the reported net asset value per share.”

Blue Capital has hired Jeffries International Ltd to carry out the buybacks and added: “Any repurchases pursuant to the engagement will be accretive to NAV per share.”

The fund did not specify the scale of the buyback but said it planned to complete the repurchase of shares for cancellation over a three-month period.

Blue Capital: fund announced share buyback

You must be Registered or to post comment or to vote.

Published June 24, 2016 at 9:00 am (Updated June 23, 2016 at 8:46 pm)

Blue Capital fund launches buyback

What you
Need to
Know
1. For a smooth experience with our commenting system we recommend that you use Internet Explorer 10 or higher, Firefox or Chrome Browsers. Additionally please clear both your browser's cache and cookies - How do I clear my cache and cookies?
2. Please respect the use of this community forum and its users.
3. Any poster that insults, threatens or verbally abuses another member, uses defamatory language, or deliberately disrupts discussions will be banned.
4. Users who violate the Terms of Service or any commenting rules will be banned.
5. Please stay on topic. "Trolling" to incite emotional responses and disrupt conversations will be deleted.
6. To understand further what is and isn't allowed and the actions we may take, please read our Terms of Service
7. To report breaches of the Terms of Service use the flag icon