UAE: Insurance House raises $4.4m through perpetual bonds
Source: Middle East Insurance Review | Jun 2019
Abu Dhabi-based Insurance House (IH) has successfully issued AED15m ($4.4m) in perpetual bonds, subscribed by a wide range of investors from private and public institutions, as well as high-net-worth individuals.
The proceeds from the perpetual bonds will be used to support IH’s growth plans by boosting its solvency ratios as the company moves on to its next phase of growth.
In a statement, the insurer said it is “the first insurance company to issue perpetual bonds in the UAE. This is a great achievement for Insurance House, as it managed to complete this milestone within a few years since its inception in 2011”.
“This is part of our efforts to diversify our funding resources and to be prepared for the next phase of growth. It has come at the right time as we begin implementing our digital transformation strategy,” said IH CEO Mohammed Othman.
In the first three months of 2019, IH’s net profit jumped by 17.4% to AED5.4m, while GWP grew by 2.8% to AED80.6m. M
AED1 = $0.27