SCOR has successfully sponsored a new catastrophe bond (“cat bond”), Atlas Capital Reinsurance 2022 DAC, which will provide the Group with a multi-year risk transfer capacity of USD 240 million to protect itself against named storms in the U.S. and earthquakes in the U.S. and Canada, as well as European windstorms. The risk period for Atlas Capital Reinsurance 2022 will run from June 1st, 2022, to May 31, 2025. The transaction has received the approval of the Irish regulatory authorities. The cat bond offering integrates ESG related considerations to support investors' due diligence.
The cat bond was priced on May 23rd, 2022 and closed on May 27th, 2022. GC Securities(1) acted as sole structuring agent and joint-bookrunner for the deal, and Natixis(2) acted as sustainability advisor and joint-bookrunner. Willkie Farr and Walkers advised SCOR as legal counsels.
Atlas Capital Reinsurance 2022 DAC is an aggregate, index-based trigger cat bond approved in Ireland under Solvency II.
Maintenance of an efficient capital shield is a strategic cornerstone of the SCOR Group, with the full array of capital market solutions being deployed by the Group.
Jean-Paul Conoscente, CEO of SCOR P&C, comments: “SCOR is pleased to renew its commitment to the ILS market, securing multi-year protection in a challenging market environment. Issuing cat bonds is an integral part of SCOR’s capital protection, of which Atlas 2022 is the latest example. The positive market reaction, securing increased capacity, is a tribute to SCOR’s commitment to the ILS market and more broadly to sustainable underwriting. We are grateful to the Irish regulatory bodies for their support and responsiveness during this transaction.”
(1) GC Securities is a division of MMC Securities LLC, a U.S. registered broker-dealer and member of FINRA/NFA/SIPC.
(2) Natixis (“Natixis”) is supervised by the European Central bank (“ECB”). Natixis is authorized in France by the Autorité de ContrôlePrudentiel et de Résolution(“ACPR”) as a Bank –Investment Services Provider and subject to its supervision. Natixis is regulated by the Autorité des Marchés Financiers (“AMF”) in respect of its investment services activities. Natixis is subject to limited regulation by the Financial Conduct Authority (“FCA”) in the United Kingdom.
