CATCo Reinsurance Opportunities has announced that, following its announcement, on the 14 November, of the unaudited net asset value of the Company’s Ordinary Shares and C Shares as at the close of business on 31 October 2016, the Company notes that its ordinary Shares and C Shares were trading at a 0.25% discount and a 0.53% discount respectively, to the Net Asset Value. Furthermore, the company says that, in accordance with the Circular to Shareholders dated 29 September 2015, this would trigger a Return of Value Tender Offer. However, the Board says that it has consulted with major shareholders and, in light of the narrow discounts, has decided not to implement the Return of Value Tender for either class of share.
About CATCo Reinsurance Opportunities
CATCo Reinsurance Opportunities aims to give its shareholders the opportunity to participate in the returns from investments linked to catastrophe reinsurance risks, principally by investing in fully collateralised reinsurance contracts but also via a variety of insurance-based investments, including insurance-linked swaps and industry loss warranties, insurance-linked securities as well as other financial instruments.
The fund will target an internal rate of return in excess of LIBOR plus 12 percent to 15 percent per annum including a distribution by way of dividend in respect of each Fiscal Year, of an amount equal to LIBOR plus 5 percent of the Net Asset Value at the end of each Fiscal Year.
CATCo Reinsurance Opportunities intends to spread investment risk by seeking exposure to several non-correlated risk categories which limits the amount of capital at risk with respect to a single catastrophic event.
No tender offer for CATCo Reinsurance Opportunities : CAT