Enstar Group Limited Announces Pricing of $500 Million of Senior Notes Due 2031

Rhea-AI Summary

Enstar Group Limited (Nasdaq: ESGR) announced the pricing of $500 million of its 3.100% Senior Notes due 2031, set to close on August 24, 2021. The proceeds will fund the purchase of its existing 4.500% Senior Notes due 2022 and will be allocated for general corporate purposes, including paying down debt and potential acquisitions. The offering is managed by Wells Fargo Securities, Barclays, and HSBC.

This press release includes forward-looking statements, which involve risks and uncertainties. Investors are advised to review Enstar's risk factors.

Positive

• Successfully pricing $500 million in Senior Notes, showcasing investor confidence.
• Proceeds aimed at refinancing existing debt, potentially improving financial stability.

Negative

• Reliance on external financing could indicate cash flow constraints.

HAMILTON, Bermuda, Aug. 18, 2021 (GLOBE NEWSWIRE) -- Enstar Group Limited (“Enstar”) (Nasdaq: ESGR) today announced the pricing of $500 million aggregate principal amount of its 3.100% Senior Notes due 2031 (the “Notes”). The offering is expected to close on August 24, 2021, subject to satisfaction of customary closing conditions.

Enstar intends to use the net proceeds from the offering to fund the purchase of its 4.500% Senior Notes due 2022 validly tendered and accepted for purchase in the tender offer announced on August 16, 2021, and to use any remaining net proceeds for general corporate purposes, including, but not limited to, repayment of borrowings under its revolving credit facility, funding for acquisitions, working capital and other business opportunities. Wells Fargo Securities, Barclays and HSBC are acting as joint book-running managers for the offering.

The Notes are being offered pursuant to an effective shelf registration statement that has previously been filed with the U.S. Securities and Exchange Commission (the “SEC”). This press release does not constitute an offer to sell or a solicitation of an offer to buy nor shall there be any sale of securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction. Any offer to sell or solicitation to buy will be made solely by means of a prospectus and related prospectus supplement filed with the SEC. You may obtain these documents without charge from the SEC at www.sec.gov. Alternatively, you may request copies of these materials from the joint book-running managers by contacting Wells Fargo Securities, LLC toll-free at 1-800-645-3751 (or by emailing wfscustomerservice@wellsfargo.com), Barclays Capital Inc. toll-free at 1-888-603-5847, or HSBC Securities (USA) Inc. at 1-866-811-8049.

About Enstar

Enstar is a NASDAQ-listed leading global insurance group that offers innovative capital release solutions through its network of group companies in Bermuda, the United States, the United Kingdom, Continental Europe, Australia, and other international locations. A market leader in completing legacy acquisitions, Enstar has acquired over 100 companies and portfolios since its formation in 2001.

Cautionary Statement

This press release contains certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements include statements regarding the intent, belief or current expectations of Enstar and its management team. Investors are cautioned that any such forward-looking statements speak only as of the date they are made, are not guarantees of future performance and involve risks and uncertainties, and that actual results may differ materially from those projected in the forward-looking statements as a result of various factors. Important risk factors regarding Enstar can be found under the heading “Risk Factors” in Enstar’s Form 10-K for the year ended December 31, 2020 and in Enstar’s Form 10-Q for the interim period ended June 30, 2021 and are incorporated herein by reference. Furthermore, Enstar undertakes no obligation to update any written or oral forward-looking statements or publicly announce any updates or revisions to any of the forward-looking statements contained herein, to reflect any change in its expectations with regard thereto or any change in events, conditions, circumstances or assumptions underlying such statements, except as required by law.

Contact: Enstar Communications
Telephone: +1 (441) 292-3645

Enstar Group Limited

FAQ

What is the purpose of Enstar's recent Senior Notes offering?

Enstar is using the proceeds to fund the purchase of its 4.500% Senior Notes due 2022 and for general corporate purposes.

When is the closing date for Enstar's Senior Notes offering?

The offering is expected to close on August 24, 2021.

What are the terms of Enstar's Senior Notes?

The Senior Notes have a principal amount of $500 million and an interest rate of 3.100%, maturing in 2031.

Who are the joint book-running managers for Enstar's Senior Notes?

Wells Fargo Securities, Barclays, and HSBC are acting as joint book-running managers.

What risks are associated with Enstar's forward-looking statements?

These statements involve risks and uncertainties that may cause actual results to differ materially.