Towers Watson Capital Markets Closes on $61.2 Million Catastrophe Bond
NEW YORK -- January 28, 2013
Towers Watson Capital Markets (TWCM) Inc., a wholly owned subsidiary of global
professional services company Towers Watson (NYSE, NASDAQ: TW), announced it
has arranged a private placement catastrophe bond, Skyline Re 2013-1, which
closed at $61.2 million and at the tight end of price guidance. The
transaction transfers risks associated with the New Madrid earthquake on a
per-occurrence basis, as well as severe convective storm losses on an
aggregate basis. Skyline Re will provide one-year, indemnity-based
collateralized catastrophe reinsurance coverage for The Cincinnati Insurance
“The Towers Watson Capital Markets team was very pleased to collaborate with
Cincinnati Insurance, a true market leader, on such an innovative structure.
The breadth and depth of investor involvement in the transaction clearly
demonstrates the acceptance of the private placement catastrophe bond
technology that Towers Watson is employing to bring new cedants and new perils
to market,” said Michael Popkin, senior vice president, TWCM.
“This deal highlights strong support for the cedant and the appeal of
diversifying perils for insurance-linked securities investors,” said Rick
Miller, senior vice president, TWCM. “Towers Watson will continue to build its
insurance-linked securities platform, and we look forward to bringing other
new cedants to market in the future.”
About Towers Watson Capital Markets Inc.
Towers Watson Capital Markets Inc. is a wholly owned subsidiary of Towers
Watson that advises clients in the areas of risk-linked securities, retirement
risk transfer transactions and asset risk management services, including
evaluating and facilitating risk management solutions involving securities and
other capital market instruments.
About Towers Watson
Towers Watson (NYSE, NASDAQ: TW) is a leading global professional services
company that helps organizations improve performance through effective people,
risk and financial management. The company offers solutions in the areas of
benefits, talent management, rewards, and risk and capital management. Towers
Watson has 14,000 associates around the world and is located on the web at
Josh Wozman, +1 703-258-7670
Binoli Savani, +1 703-258-7648
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