IQUW secures a $170 million debt financing supported by Hudson Structured and Kilter Finance

Hudson Structured Capital Management Ltd. (HSCM), an investment manager specializing in reinsurance, insurtech, insurance-linked securities (ILS), and transportation, along with Kilter Finance, a specialty financing firm focused on insurance, have supported a $170 million debt raise for re/insurer IQUW as it expands its Bermuda platform.

IQUW operates its global specialty insurance and reinsurance business through Lloyd’s Syndicate 1856 and its Bermuda-based reinsurer, IQUW Re. The latter writes a whole account quota share of the group’s Lloyd’s corporate member and plans to expand into third-party reinsurance.

IQUW recently received an A- rating from AM Best for IQUW Re Bermuda Limited. Additionally, AM Best assigned a “bbb-” (Good) Long-Term Issue Credit Rating to IQUW’s $170 million senior unsecured notes due in 2035. The debt is backed by funds and accounts managed by HSCM Bermuda, along with investors linked to Kilter Finance. Howden Capital Markets & Advisory served as the financial advisor for the debt issuance.

The debt raise strengthens IQUW’s risk-adjusted capitalization, according to AM Best. IQUW noted that the rating enhances its ability to serve clients and brokers worldwide, leveraging over $1 billion in group capital. This milestone supports IQUW’s goal of expanding its third-party reinsurance business via its Bermuda platform.

The $170 million debt issuance, combined with the new rating, will enable IQUW to underwrite Property, Specialty, and Casualty reinsurance products from Bermuda.

Stephen Young, CEO of IQUW Bermuda, praised the team’s efforts in establishing a strong foundation in Bermuda, emphasizing that the new rating and balance sheet will strengthen IQUW’s market position and growth strategy. Peter Bilsby, IQUW Group CEO, highlighted the A- rating as a validation of IQUW’s financial strength and global capabilities. He noted that the Bermuda platform complements IQUW’s Lloyd’s presence, supporting responsible business expansion.

Hudson Structured and Kilter Finance reaffirmed their commitment to financing growth-focused companies in the global insurance and reinsurance sector, delivering strong returns to their investors by backing IQUW’s debt raise.