Palomar Insurance Holdings Raises $20,000,000 in New Capital
La Jolla, Calif., September 14, 2018 Palomar Insurance Holdings (Palomar Holdings) announced that it has successfully completed a $20,000,000 senior note issuance in a private placement with Cohen & Company Inc, through its J.V.B. Financial Group and Dekania Capital Management subsidiaries (Cohen) and investment funds directed by Fermat Capital Management (Fermat). Proceeds from this transaction will be used to pay off a surplus note of Palomar Specialty Insurance Company (Palomar), a wholly owned subsidiary of Palomar Holdings, and for general working capital purposes.
“Palomar Holdings is excited to partner with two premier partners in Cohen and Fermat as well as enhance our growing capital base through this senior note issuance,” said Chief Executive Officer Mac Armstrong. “This investment not only bolsters our capital position but also enables Palomar to continue executing its objective of becoming a market leading specialty insurer.”
John Butler, Head of Cohen’s U.S. Insurance Debt Strategy added “We are delighted that via our newly re-launched U.S. insurance private debt (‘PriDe’) platform we are able to support well performing insurance groups such as Palomar.”
TigerRisk Capital Markets & Advisory acted as exclusive placement agent to Palomar in this transaction. DLA Piper acted as legal counsel.
Palomar (www.PalomarSpecialty.com) is a leading insurer that focuses on catastrophe-exposed residential and commercial property lines of business. Palomar’s underwriting and analytical acumen allow it to concentrate on catastrophe insurance products including residential and commercial earthquake, coastal homeowners, residential hurricane and commercial business written on an “all-risk” basis. Based in La Jolla, California, the company is an admitted carrier in 24 states. Palomar has an A.M. Best financial strength rating of “A-” (Excellent).