Bermudian reinsurance firm RenaissanceRe (RenRe) has announced that Tokio Marine plans to sell its 3.9% stake in the company, worth about $334 million.
The stake will be offloaded via an underwritten public secondary offering of 1,739,071 common shares by Tokio Marine & Nichido Fire Insurance Co., Ltd.
These shares formed part of the purchase price when RenRe acquired Tokio Millenium Re back in March 2019.
The $1.5 billion consideration for this deal consisted of $1.22 billion in cash and $250 million of RenRe common shares.
Tokio Marine will receive all of the net proceeds from the share offering, which is expected to close on January 9, 2020, subject to customary closing conditions.
Additionally, RenRe disclosed that Morgan Stanley & Co. LLC is acting as the sole underwriter for the offering.
