Insurance marketplace Accelerant and its backers raise $724 Million in US IPO
The specialty insurance market announced on Wednesday that Accelerant, along with some of its existing investors, raised $723.69 in an initial public offer (IPO) in America.
The company sold 34.46 millions shares at $21 per share, along with investors including Todd Boehly’s Eldridge and Altamont Capital. Earlier, the company had targeted 28.9million shares between $18 and $20.
Many companies have been encouraged to list their stocks on the stock exchange by a string of successful U.S. debuts over the past few weeks. This has also coincided with a rebound in equities.
On Wednesday, NIQ Global, a consumer intelligence company, and Carlsmed, a surgery medtech company went public in New York. McGraw Hill will debut alongside Accelerant on Thursday.
Accelerant, founded in 2018 by industry veterans, is an insurance marketplace that connects niche sellers to institutional investors. It uses data to make this process cheaper, faster and more intelligent.
In a funding round in 2023, the company was valued at $2.4 Billion.
Accelerant’s risk exchange has placed $3.5 billion in exchange-written premiums over the 12 months preceding March 31. This is a 73% increase from a year ago.
Altamont Capital, a private equity firm, will retain a majority of voting control over Accelerant following the offering. Morgan Stanley and Goldman Sachs acted in this capacity as active bookrunners.
Accelerant will start trading at the New York Stock Exchange with the ticker "ARX". The company tapped over 10 Wall Street banks to help it launch its IPO.
The proceeds will be used to redeem convertible preference shares, and to pay management fees to Altamont, the company's majority shareholder. (Reporting and editing by Sumana Naandy in Bengaluru, Arasu Kannagi basil and Abu Sultan)
(source: Reuters)
