Arundo Re has completed the issuance of 157 Re 26, the latest compartment of its long-running sidecar vehicle, as reinsurers increasingly turn to repeat sidecar platforms to lock in third-party capital.
The deal marks the eighth vintage of the 157 Re structure, which Arundo Re uses to sit alternative capital alongside its traditional reinsurance capacity.
The vehicle is issued through a compartmentalized mutual securitization fund that has been refined over the past seven years, giving investors collateralized access to defined portions of the reinsurer’s portfolio.
Mathieu Halm (pictured above), board secretary and chief retrocession and alternative capital officer, said the latest compartment underscores the platform’s role in Arundo Re’s capital strategy.
“157 Re is a great opportunity for our investors to support Arundo Re in its development. This eighth issuance testifies to a shared ambition to build a quality partnership,” he said, framing 157 Re 26 as a continuation of an established program rather than a standalone trade.
The new issuance again involves Boussard & Gavaudan Investment Management LLP as a key investor, continuing a long-standing partnership with the platform. It also brings in fresh capital from Mutuelle Centrale de Réassurance, supporting Arundo Re’s goal of broadening the vehicle’s investor base over time.
Arundo Re’s move comes against a backdrop of renewed activity in the sidecar market, where sponsors are tailoring vehicles to specific portfolios and building multi-vintage franchises.
QBE Re recently launched George Street Re, a casualty-focused sidecar providing more than US$550 million of fully collateralized quota share capacity to support long-tail casualty books, illustrating how carriers are using sidecars to align third-party capital with targeted risk segments and deepen ties with alternative investors.
Intermediaries are also scaling up their support for this part of the market. Guy Carpenter has established a global Sidecar Center of Excellence to advise on design, structuring and investor engagement, highlighting that financial investors now provide more than US$120 billion of alternative capital, or around 20% of dedicated reinsurance capital.
Against this backdrop, Arundo Re said that it is positioning 157 Re as a core, repeat conduit to that capital pool – using successive compartments such as 157 Re 26 to maintain long-term investor relationships and underpin its underwriting strategy across the cycle.
