HSCM Bermuda creates life insurance investment fund

Bermuda-based Hudson Structured Capital Management has raised $175 million from investment firm StepStone Group and existing HSCM investors which will be used to acquire interests in five asset-intensive life insurance investments it holds. 

HSCM Bermuda it had closed its long term re/insurance fund HS Mohawk Fund I, which was established to support the life insurance investments “while offering existing Bermuda Fund investors an option for near-term liquidity”.

“The launch of the Fund marks an important step in HSCM’s continuing investment into asset-intensive life insurance,” the company said. “HSCM has built diversified sourcing capabilities and become a partner of choice for structuring bespoke transactions with leading sponsors in the space.”

HSCM has also named Gokul Sudarsana its chief investment officer for life insurance, in addition to his role as chief actuary.

“We are delighted to announce the successful closing of the Fund and continue to be a trusted capital partner to our portfolio companies and drive value creation for our investors,” said Sudarsana. “This transaction marks an exciting milestone in our growing life insurance franchise, and we look forward to our continued collaboration and partnership with StepStone.”

Geoff Dolan, Partner at StepStone said, “This transaction serves as a testament to our goal of partnering with best-in-class sponsors to provide capital solutions for their highest quality assets and liquidity options for existing investors. We are excited to build on our partnership with HSCM and support the firm’s continued success in the asset-intensive life insurance space.”

PJT Partners served as the exclusive financial advisor to HSCM on the transaction and Proskauer Rose LLP served as HSCM’s legal counsel. Goodwin Proctor LLP served as legal counsel to StepStone on the transaction.

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