Peak Re completes third Lion Rock Re sidecar transaction
Hong Kong, 17 February 2021 – Peak Reinsurance Company Limited (“Peak Re”) a Hong Kong-based global reinsurer, is pleased to announce the completion of its third successive reinsurance sidecar transaction via its Bermuda-domiciled Special Purpose Insurer, Lion Rock Re Ltd.; and has successfully raised US$107 million in a challenging market.
Peak Re first ventured into the Insurance-Linked Securities (ILS) market with its Lion Rock Re sidecar structure in 2018, which was the first reinsurance sidecar from an Asia-based sponsor.
Mr. Franz Josef Hahn, Chief Executive Officer of Peak Re, commented, “ILS has become an integral part of Peak Re’s retrocession strategy, and we have been building up our ILS capabilities since the launch of the first sidecar vehicle in 2018. We will continue to provide innovative options for investors and bring more capacity to narrow the protection gap in the emerging middle-class society in Asia.”
In collaboration with Aon Capital Partners, Aon Securities LLC is the structuring and placement agent for the transaction.
Note to Editor
A reinsurance sidecar is a financial structure established to allow investors to take on the risk and benefit from the return of specific books of insurance and/or reinsurance business.
It plays an important role in narrowing the protection gap in society while providing investors access to new regions, perils and opportunities.
About Peak Re
Peak Reinsurance Company Limited (“Peak Re”) is a Hong Kong-based reinsurance company authorised by the Insurance Authority of Hong Kong. It is one of the locally established reinsurance companies in Asia Pacific, underwriting both life and non-life reinsurance business.
With a shareholder equity of US$1.1 billion as of 31 December 2019, Peak Re enjoys an “A- (stable)” rating by A.M. Best and an “A3 (stable)” rating by Moody’s. The Company ranks among the top 30 global reinsurance groups in terms of net written premiums*.
Peak Re strives to provide innovative and forward-looking reinsurance services for customers in the Asia Pacific, Europe, Middle East and Africa and the Americas. It tailors risk transfer and capital management solutions to best fit clients’ needs.
Fosun International Limited (00656.HK) and Prudential Financial, Inc. hold approximately 87% and 13% of Peak Re via Peak Reinsurance Holdings Limited, respectively.
* Source: S&P Top 40 Global Reinsurance Groups 2020