20th Apr 2006 07:01
Amlin PLC20 April 2006 AMLIN PLC PRESS RELEASE For immediate release 20 April 2006 Amlin raises Tier Two debt Amlin plc ("Amlin"), the leading Lloyd's insurer, announces that it hasconditionally agreed to raise £230 million of long term subordinated debt,through the issue of Fixed/Floating Rate Subordinated Notes due 2026 ("the Issue"). The Issue qualifies as Lower Tier Two regulatory capital. Amlin will use theproceeds to fully refinance existing Letters of Credit and partially refinanceterm loans. The Issue is callable on 19 December 2016 and bears an initial interest at therate of 6.5% per annum, payable annually in arrear, representing a spread of 200basis points over the semi-annual yield of the benchmark gilt. Following thecall date the interest rate resets at 266 basis points (incorporating a step upof 100 basis points) above the London interbank offered rate ("LIBOR"), payablequarterly in arrear. The Issue has been assigned a rating of bbb by A.M. Bestand is expected to be assigned a rating of BBB- by Standard & Poors and Baa3 byMoody's. The Issue is to be listed on the London Stock Exchange. Commenting on the Issue, Richard Hextall, Group Finance Director said, "Amlin isdelighted to have raised a further £230 million of subordinated debt torefinance facilities put in place to fund our recent expansion in Bermuda. TheIssue was heavily oversubscribed and we are pleased with the positive responsewe have received from investors." "The Issue, together with the expected repayment of the £150 million Bridge Loanin June 2006, substantially lengthens the maturity profile of our debt financingand strengthens our balance sheet." Barclays Capital and JP Morgan Cazenove acted as Joint Lead Managers on theIssue. Completion of the Issue, which is subject to certain conditions, isexpected to occur on 25 April 2006. -Ends- Enquiries: Amlin plc 020 7746 1000 Richard Hextall, Group Finance DirectorHannah Bale, Head of Communications Haggie Financial 020 7417 8989 Peter Rigby Notes for Editors: Amlin plc is a recognised leader in the London insurance and reinsurance market,providing a global client base with risk management solutions. The Amlin groupcomprises five main businesses: Aviation; Marine; UK Commercial; Non-Marine &Reinsurance (international property and casualty insurance and reinsurance) andAmlin Bermuda. A FTSE-250 quoted company, Amlin owns 100% of its £1 billion of Lloyd's capacityfor 2006, which is written through Syndicate 2001. Amlin's Syndicate is rated 'A' (Excellent) by A.M. Best and 'A1' (Good) by Moody's. Amlin Bermuda Limited is capitalised at US$1 billion and began trading inDecember 2005. This diverse reinsurance business is rated 'A' (Strong) byStandard & Poors, 'A-' (Excellent) by A.M. Best and 'A2' (Good) by Moody's. This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
Aston Martin Lagonda