Canadian property and casualty insurer Definity Financial (Definity) has raised approximately $1.1bn through its initial public offering (IPO).

Definity, which was earlier known as Economical Mutual Insurance Company (Economical Insurance), sold 63.6 million shares for C$22 ($17.67) apiece, the top end of the offer.

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Additionally, Definity revealed that the Healthcare of Ontario Pension Plan (HOOPP) and investment arm of Swiss Re agreed to purchase nearly 20 million and 11 million common shares, respectively, through a private placement of approximately C$700m ($555.79m).

The aggregate value of the IPO and private placement is $1.6bn and it is expected to close on 23 November 2021.

The offering also changes Definity’s structure from a company owned by policyholders to a company owned by shareholders through a process called demutualisation.

According to Bloomberg, Definity’s offering is Canada’s largest IPO of this year and the third-largest IPO of a Canadian firm in the past five years.

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Established in 1871, the insurer stated that the proceeds will be used to fund the distribution of cash benefits of the demutualization to eligible recipients.

Definity, which holds 4.6% of the Canadian market, operates other subsidiaries including Family Insurance Solutions, Petline Insurance Company, and Sonnet Insurance Company.

BMO Capital Markets, RBC Capital Markets and Barclays acted as the lead underwriters for the offering.

Meanwhile, Asian insurer FWD Group Holdings is reportedly planning to shift its IPO from the US to Hong Kong due to the delay caused by US authorities.