Reinsurer MS Amlin has created a new Bermuda-domiciled special purpose reinsurer, Viribus Re Ltd, to provide collateralized capacity support for MS Amlin Syndicate 2001's global reinsurance portfolio in 2018.
Viribus Re has entered into a quota share agreement with MS Amlin to reinsure a share of MS Amlin's worldwide property catastrophe excess of loss portfolio.
The vehicle has secured commitments of more than $60 million, MS Amlin said in a statement. Capital has been committed by a number of third party investors, including MS Amlin, which has committed $5 million.
James Few, global managing director of reinsurance at MS Amlin, commented, "This is an important long-term strategic initiative for MS Amlin as we continue to seek ways to build capacity and relationships with capital market partners, whilst providing us with greater scope and flexibility to support the evolving needs of our clients. We are delighted to have secured funding for Viribus Re Ltd from a range of new partners whom we look forward to working with closely in the future."
Aon Securities acted as sole structuring and placement agent on the transaction. Willkie Farr & Gallagher UK (LLP) acted as deal legal counsel for the transaction.