Skyward Specialty looks to raise $134m through upsized IPO

Skyward Specialty Insurance Group, a Houston-based specialty insurer, has priced its upsized initial public offering (IPO), which is expected to raise approximately $134 million through the sale of 8.9 million shares.

The IPO initially launched on January 04 with 8.5 million shares of its common stock priced in the range of $14 and $16 per share, but has now been upsized to 8,952,383 shares of its common stock at a public offering price of $15.00 per share.

The 8.9 million shares on offer include 4,750,000 common shares being offered by Skyward Specialty and 4,202,383 common shares being sold by selling stockholders.

The underwriters have a 30-day option to purchase up to an additional 1,342,857 common shares from the selling shareholders at the public offering price, less underwriting discounts and commissions.

The offering is expected to close on or about January 18, subject to customary closing conditions. The shares are expected to begin trading on January 13 on the Nasdaq Global Select Market under the ticker symbol 'SKWD'.

Skyward provides commercial property and casualty insurance products and solutions on a non-admitted and admitted basis in the US. Its aim through the IPO is to “increase its capitalisation and financial flexibility and create a public market for its common shares, thereby enabling access to the public equity markets for Skyward Specialty and its stockholders.”

“In addition, Skyward Specialty intends to use a portion of the net proceeds from this offering to make capital contributions to its insurance company subsidiaries to support the growth of its business, using the remainder for general corporate purposes. Skyward Specialty will not receive any proceeds from any sale of common shares by the selling stockholders,” the company said at the time of its IPO launch.

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