Ariel Re “very happy” with stability of four-year $150m Titania Re cat bond: CEO Mather

Ariel Re, the global reinsurance firm, is “very happy” with the four-year stability of the retrocessional protection it has secured with its recently sponsored $150 million Titania Re Ltd. (Series 2025-1) catastrophe bond, according to CEO Ryan Mather.

Mather cites the positive reception and support Ariel Re received from the cat bond investor community, while highlighting the predictable and long-term nature of the firm’s first four-year deal under the Titania Re program.

As we’ve been reporting, Ariel Re ventured back into the catastrophe bond market at the beginning of June, initially targeting at least $125 million of multi-peril retrocessional reinsurance through its latest cat bond deal.

As we reported in our updates, Ariel Re eventually secured an upsized $150 million of protection from what is the fifth cat bond issuance under Titania Re, while also securing the retro reinsurance protection with one tranche of notes priced well-below the initial guidance, the other within guidance.

As we had also explained, notably this is the first cat bond for Ariel Re that has seen the sponsor securing coverage for wildfire risks, in addition to named storms and earthquakes.

You can read about all of Ariel Re’s catastrophe bonds by filtering our Deal Directory by sponsor.

The annual aggregate retro coverage from Ariel Re’s latest Titania Re cat bond has been structured using a state-weighted industry loss trigger, like its previous cat bonds.

For sponsors like Ariel Re, the predictable and long-term nature of a four-year cat bond can be a very attractive proposition, while the cat bond market’s ability to provide aggregate retrocession is also a desirable benefit of accessing the capital markets.

Ryan Mather, Chief Executive Officer of Ariel Re, explained, “We are delighted to have successfully issued our fifth catastrophe bond, and we are pleased with the support we have received from the investor community.

“Capital markets investors are an important part of Ariel Re’s strategy, and we are very happy with the stability we have secured through this four-year bond.”

Andrew Kerr, Vice-President of Capital, also said, “Ariel Re’s mission is to be the Premier Manager of Reinsurance Risk, and we continue to be a trusted partner for capital markets investors. We are very pleased to have expanded our peril coverage as part of this transaction.”

Ariel Re’s latest catastrophe bond was arranged and placed with the support of Howden Capital Markets & Advisory acting as the sole structuring agent and joint bookrunner, while Aon Securities LLC acted as joint bookrunner.

Read all about this new Titania Re Ltd. (Series 2025-1) catastrophe bond from Ariel Re, as well as details on over 1,000 other cat bond transactions in the extensive Artemis Deal Directory.