Ironshore files for IPO as Chinese parent looks to sell stakeReprints
Specialty and surplus lines insurer Ironshore Inc. is again on course to be a publicly traded company after it filed for an initial public offering Friday.
The move comes two years after it previously filed for an IPO with the U.S. Securities and Exchange Commission, but those plans were put on hold after Chinese conglomerate Fosun International Ltd. bought a stake in the Hamilton, Bermuda-based insurer. Fosun, which paid $1.8 billion for the remaining 80% share in Ironshore that it did not already own in May 2015, will receive all the proceeds from the offering.
In a filing dated July 23, Ironshore said that the proposed aggregate offering price would be $100 million. It noted, however, that the figure was “estimated solely for the purpose of computing the amount of the registration fee” required for the filing.
According to the filing, Ironshore reported gross written premiums of $2.16 billion in 2015. About 65% of its business is generated from the United States.
Fosun said last month that it would seek approval to spin off Hamilton, Bermuda-based Ironshore. In addition, the company said six weeks ago that it is cooperating with the Committee on Foreign Investment in the United States in that federal body's review of its acquisition of Ironshore.
CFIUS, which according to its website is “an inter-agency committee authorized to review transactions that could result in control of a U.S. business by a foreign person in order to determine the effect of such transactions on the national security of the United States,” does not comment on its reviews.