Clifford Chance

Reactions magazine names Harrington Re its 2017 “Capital Raising of the Year”

For the fifth time in as many years, Reactions magazine recognized a deal led by Clifford Chance with one of its top North America Awards. The magazine selected Harrington Reinsurance Holdings Limited (“Harrington Re”) as its 2017 “Capital Raising of the Year.”

Harrington Re, a Bermuda-based reinsurance holding company, and its wholly-owned subsidiary, Harrington Re Ltd., were successfully launched by New York Insurance and M&A partner Gary Boss and his team. In the initial capital raise, Harrington Re raised approximately US$550 million of equity and US$50 million of debt for its operations. Harrington Re is sponsored by The Blackstone Group, L.P. (“Blackstone”), one of the world’s largest alternative asset managers, and AXIS Capital Group Ltd. (“AXIS”), a leading global reinsurance company.

Harrington Re is distinctive in employing new governance and risk-alignment features, which Boss and his team helped develop collaboratively with the sponsors. AXIS noted the significance of the launch at the time and publicly stated that Harrington Re was an integral part of its larger alternative capital strategy.

With this fifth major award from Reactions recognizing the Firm’s work under the leadership of Boss, the industry continues to see significant new entrants in the marketplace deploying the deal structure that Clifford Chance has helped lead for total return reinsurance ventures.

Clifford Chance has led the way since the inception of this market, with five completed deals comprising an aggregate value of US$4.36 billion. The launch of Watford Holdings Ltd. (US$1.13 billion in 2014) broke new ground and was followed by the launch of Fidelis Insurance Holdings Limited (US$1.5 billion in 2015). Watford Holdings Ltd. was awarded "Launch of the Year" and both Watford Holdings Ltd. and Fidelis Insurance Holdings Limited were recognized as “Capital Raising of the Year” in their respective years by Reactions magazine. Subsequent launches handled by Boss and his team include KaylaRe Holdings Ltd. (US$620 million in 2016) and Premia Holdings Ltd. (“Premia”) (US$510 million in 2017). Premia was recently recognized as 2017 “Launch of the Year” by Reactions.

Led by Boss, the Firm’s multidisciplinary team included Tax partner Mike Seaton; ERISA partner Howard Adler; Capital Markets partner Per Chilstrom; Insurance and M&A associates Dean Agnos, Analisa Dillingham and Kirsten Gaeta; and Corporate associates Satbir Walia and Allison Sherrier.

Clifford Chance continues its cutting-edge work in the reinsurance start-ups market. Working collaboratively with these start-ups, Boss and his team are currently advising on several other deals in this area.

Reactions magazine is a leading global re/insurance publication. Its annual awards recognize transactions that have made a lasting impression on the North American insurance and reinsurance industry.