RenRe to sell 20m depository shares in public offering

RenaissanceRe Holdings has agreed to sell 20 million depository shares in an underwritten public offering.

The public offering price is $25 per depositary share for an aggregate public offering price of $500 million.

Each depository share represents a 1/1,000th interest in a share of its 4.20 percent series G preference shares, $1.00 par value and $25,000 liquidation preference per share, equivalent to $25 per depositary share.

RenaissanceRe expects to consummate the sale to the underwriters on July 12, 2021, subject to customary closing conditions. It will use the net proceeds from the offering to redeem all of its outstanding 5.375 percent series E preference shares and any additional net proceeds will be used for general corporate purposes.

In the event a catastrophic or other significant event occurs prior to the redemption of the 5.375 percent series E preference shares, RenRe said it could use the money to replenish its capital base instead.

Wells Fargo Securities, BofA Securities, Morgan Stanley & Co, RBC Capital Markets and UBS Securities are serving as joint book-running managers for the offering.