Everest Re Group rebrands, raises capital
Everest Re Group Ltd, the soon-to-be-rebranded Bermudian-based re/insurer, is seeking to raise nearly $1.5 billion in growth capital in advance of the midyear reinsurance renewals.
Everest has priced an underwritten public offering of 3.6 million common shares at a price to the public of $360 per share, before underwriting discounts and commissions.
The underwriters have the option to purchase up to an aggregate of 540,000 additional common shares from the company.
This reflects an upsizing of the previously announced offering of three million shares and 450,000 option shares granted to the underwriters.
A fully subscribed offering would raise a shade more than $1.49 billion.
The offering is expected to close on Friday, subject to customary closing conditions.
The company said it intends to use the net proceeds from this offering for general corporate purposes, which may include expanding its existing business lines and operations.
Citigroup Global Markets Inc and Goldman Sachs & Co LLC are acting as joint book-running managers.
The shares are being offered pursuant to an effective shelf registration statement that has been filed with the US Securities and Exchange Commission.
Meanwhile, the company received shareholder approval to rebrand at its annual meeting on Wednesday.
It will change its name to Everest Group Ltd and will trade under the new ticker symbol (NYSE: EG) from July 10.
“Everest’s new name and stock ticker reflect the evolution of our value proposition, built on five decades of reinsurance leadership and an expanding presence in the global primary insurance market,” said Juan C. Andrade, Everest president and chief executive.
“In today’s heightened risk environment, our hybrid business model, breadth of global capabilities and outstanding talent are more vital than ever.”
Aligned with Everest’s refreshed brand unveiled last November, these changes underscore the company’s diversification efforts, it said.
Mr Andrade added: “At Everest, underwriting opportunity is more than an ideal — it’s the commitment that inspires excellence in everything we do.
“We continue to advance our strategic objectives as ‘One Everest,’ with the discipline, expertise and agility to create lasting value for all our stakeholders.”
The company has launched a new corporate website at www.everestglobal.com.
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