Oxbridge Re, together with its subsidiaries, has announced a $3.0 million registered direct offering and concurrent private placement.
The company has entered into a securities purchase agreement with a single institutional investor for the purchase of 705,884 ordinary shares in a registered direct offering.
Concurrently, Oxbridge Re will issue unregistered Series A Warrants to purchase up to 529,413 ordinary shares and unregistered Series B Warrants to purchase up to 882,355 ordinary shares in a private placement.
The combined effective offering price for each ordinary share and the accompanying warrants is $4.25.
According to the announcement, the Series A Warrants will be immediately exercisable with a two-year expiration and $4.25 exercise price, while Series B Warrants will be exercisable after shareholder approval or 6 months from issuance with a five-year expiration.
The offering is expected to close around February 26, 2025, with Maxim Group acting as the sole placement agent.
Oxbridge Re concluded: “The Series A Warrants and Series B Warrants to be issued in the concurrent private placement and the ordinary shares issuable upon exercise of such warrants were offered in a private placement under Section 4(a)(2) of the Securities Act of 1933, as amended (the “Act”), and Regulation D promulgated thereunder and have not been registered under the Act or applicable state securities laws.”
This capital raise comes as Oxbridge transitions from its traditional reinsurance business toward tokenized Real-World Assets (RWAs) – initially in the form of tokenized reinsurance securities, and reinsurance solutions to property and casualty insurers in the Gulf Coast region of the United State.
