Advent secures funds for startup

LONDON—Advent Capital (Holdings) P.L.C. has completed its previously announced capital raising, ahead of the planned launch of a Bermuda-based reinsurance company, Advent Re.

The company announced earlier this month plans to raise £19.7 million ($38.55 million) through a debt and equity issue. On Friday, the company said that it had completed its $20 million debt issue, while earlier in the week it announced the completion of the equity offering.

Following the issue of Advent shares as part of the equity offering, Toronto, Canada-based Fairfax Financial Holdings has a 44.46% stake in the London-based company.

The two transactions complete the capital raising announced by the company on December 7, 2006. Advent said that the proceeds of the capital offering would be used to establish a class 3 reinsurance company in Bermuda, which is expected to begin trading in time for the January 1 renewal season.