Lancashire prices a supplemental $50m of junior notes
Lancashire Holdings has priced a supplemental offering of $50 million in aggregate principal amount of 5.625 percent fixed-rate reset junior subordinated notes due 2041.
The financing forms part of the same series as the currently outstanding $400 million fixed-rate reset junior subordinated notes due 2041. The Reg S offering was conducted as a private offering to qualified institutional investors in various jurisdictions and outside of the US.
Lancashire said it will use the majority of the net proceeds to redeem its outstanding senior and subordinated indebtedness, with the balance being used for general corporate purposes.
The supplemental offering will receive Tier 2 Ancillary Capital treatment by the Bermuda Monetary Authority. Lancashire will apply for the new notes to be admitted to trading on the International Securities Market of the London Stock Exchange, to be fully fungible with the existing notes upon admission.