Bermuda-based reinsurer, Everest Re Group, Ltd. has announced that its wholly-owned subsidiary, Everest Reinsurance Holdings, Inc., is set to raise $1 billion of additional capital through a debt issue.
Everest Re has priced a registered public offering of $1 billion aggregate principal amount of 3.500% Senior Notes due 2050.
The company expects the offering to close on October 7th, 2020, subject to customary closing conditions, and intends to use net proceeds from the Notes for general corporate purposes.
The maturity date has been set at October 15th, 2050, while the Notes will be redeemable at Everest Re’s option, either in whole or in part for cash, at any time prior to April 15th, 2050.
For this offering, Wells Fargo Securities, LLC, Citigroup Global Markets Inc. and HSBC Securities (USA), Inc. are acting as joint book-running managers.
The reinsurer expects the notes to be rated Baa1 (Stable) by Moody’s, A- (Stable) by S&P, and a- (Stable) by A.M. Best.
