Markel CATCo raises over $1.8bn

Bermuda-based Markel CATCo Investment Management (Markel CATCo) said on Oct. 30 that it raised over $1.8 billion for its private fund as a result of additional investments from both existing and new investors.

Markel CATCo builds and manages portfolios designed to deliver investors the opportunity to participate in the returns from a selected mix of investments linked to reinsurance risks.

Furthermore, on Oct. 2, 2017 Markel CATCo and the board of the public fund, CATCo Reinsurance Opportunities Fund announced they were proposing to raise further funds in response to demand from both current shareholders and new investors.

To facilitate this further fundraise, it is intended that a prospectus will be published in early November with the aim of closing the fundraise by the end of the month. The fundraise will be by way of a placing of new C Shares.

With over $1.8 billion already raised this ensures that Markel CATCo can fund all of its Jan. 1, 2018 reinsurance contract renewals as well as a portion of the increased buyer demand from its reinsurance clients. The proceeds from the C shares will enable the fund to satisfy the additional buyer demand from existing and new reinsurance clients.

“The Markel CATCo team is extremely grateful for the tremendous support demonstrated by our investors and, equally importantly, by the buyers of our reinsurance protections and the loyalty they have shown towards our unique product offering,” Markel CATCo CEO Tony Belisle, said.

“The ability to raise and deploy this significant amount of additional capital is testament to the Markel CATCo team focus on providing both exceptional, long term returns to our investors and, also, the highest levels of service to our reinsurance clients,” Belisle added.

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