Specialty insurance and reinsurance company Convex has secured $500m in committed preferred equity capital from affiliates of investment firm Sixth Street.
The investment comes on the heels of Convex’s recent $1bn fundraise from a consortium led by Onex and GIC, in which Sixth Street was also an investor.
Go deeper with GlobalData
Launched in 2019 with a committed capital of $1.7bn, Convex underwrites insurance and reinsurance across a spectrum of business lines including aerospace, marine, casualty, energy, and property among others.
The latest investment from Sixth Street takes the company’s total committed capital to over $3.2bn.
The start-up intends to use the money to further accelerate its growth in the commercial insurance and reinsurance markets.
Convex CEO Stephen Catlin said: “We are pleased to be partnering with the Sixth Street team to strengthen our position even further in today’s cyclically advantageous market environment.
How well do you really know your competitors?
Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.
Thank you!
Your download email will arrive shortly
Not ready to buy yet? Download a free sample
We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form
By GlobalData“This significant additional capital provides us with greater flexibility as we continue our recent momentum in growing our business.”
Sixth Street, which oversees $50bn in assets, is an active investor in insurance and reinsurance businesses via its $24bn Sixth Street TAO platform.
Speaking on the latest investment, Sixth Street co-founder and partner Michael Muscolino said: “With an exceptional track record and disciplined team of underwriters, Convex is uniquely positioned to pursue opportunities made available by a hardening market.
“Our cross-border financials investing franchise is pleased to be supporting Convex management alongside their impressive existing institutional investor base, and we look forward to our long-term partnership.”
In July 2019, Cytora, an AI-powered platform for commercial insurance underwriting, teamed up with Convex to develop artificial intelligence (AI)-powered solution for the commercial insurance sector.
