Trisura Group Ltd. announces $135 million bought deal

Not for distribution to US news agencies or for dissemination in the United States.

  • Consistent execution of growth strategies in Canada and the United States generating strong organic growth
  • Growth exceeded plan in Q2 with US gross written premiums expected to be $425-450m (>90% growth vs Q2 2021)

TORONTO, July 07 2022 (GLOBE NEWSWIRE) — Trisura Group Ltd. (“Trisura” or the “Company”) (TSX: TSU), a leading specialty insurance company, today announced that it has entered into an agreement with a syndicate of underwriters led by BMO Capital Markets and Cormark Securities Inc. (collectively, the “Underwriters”), pursuant to which the Underwriters have agreed to purchase, pursuant to a public offering, 4,070,000 common shares (the “Shares shares”) of the Company, at a price of $33.25 per common share (the “offer price”) for gross proceeds of approximately $135 million (the “offer”).

“Our business continues to perform well and second quarter results show particularly strong growth,” said David Clare, President and Chief Executive Officer. “Significant and consistent growth should support long-term profitability, particularly in our US fee-based business. Additional capital will allow Trisura to sustain the premium base already generated and pursue new avenues of growth. »

The Company intends to use the net proceeds of the offering for general corporate purposes, including, but not limited to, supporting the growth of the platform in Canada and the United States. Growth exceeded plan in the second quarter, with gross written premium expected to be $600-$635 million, of which $425-450 million related to the US front, compared to $364 million and $221 million in the second quarter of 2021, respectively. Growth in the United States was driven by the maturation of existing programs and supplemented by the addition of new programs.

The Company has granted the underwriters an option (the “Over-Allotment Option”), exercisable in whole or in part at any time up to 30 days following the closing of the Offering, to purchase up to an additional 15% of the ordinary actions. at the offer price to cover over-allotments, if any.

The Common Shares to be issued under the Offering will be offered by way of a Prospectus Supplement to be filed in each of the provinces and territories of Canada, and may be offered in the United States on a private placement basis. pursuant to an exemption from the registration requirements of the United States Securities Act of 1933, as amended, and the securities laws of applicable states, and certain other jurisdictions outside from Canada and the United States.

The offering is expected to close on or about July 14, 2022, subject to Trisura receiving all necessary regulatory approvals.

This press release does not constitute an offer to sell or the solicitation of an offer to buy securities, and there will be no sale of securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to the registration or qualification. under the securities laws of such jurisdiction. The securities offered have not been registered under the United States Securities Act of 1933, as amended, and may not be offered or sold in the United States absent registration or an applicable exemption from regulatory requirements. ‘registration.

About Trisura Group Ltd.
Trisura Group Ltd. is a specialist insurance provider operating in the Surety, Risk Solutions, Commercial Lines, Fronting and Reinsurance market segments. Trisura has investments in wholly owned subsidiaries through which it conducts insurance and reinsurance business. These operations are primarily in Canada and the United States. Trisura Group Ltd. is listed on the Toronto Stock Exchange under the symbol “TSU”.

Further information is available at http://www.trisura.com/group. Important information may be disseminated exclusively via the website; investors are invited to consult the site to access this information. Details regarding Trisura Group’s operations are also set out in regulatory filings. A copy of the filings may be obtained on Trisura Group’s SEDAR profile at www.sedar.com.

For more information, please contact:
Name: Bryan Sinclair
Tel: 416 607 2135
Email: [email protected]

Caution Regarding Forward-Looking Statements and Information

Note: This press release contains “forward-looking information” within the meaning of Canadian provincial securities laws and “forward-looking statements” within the meaning of applicable Canadian securities regulations. Forward-looking statements include statements that are predictive in nature, depend on or refer to future events or conditions, include statements regarding operations, activities, financial condition, expected financial results, performance, prospects, opportunities, priorities, targets, objectives, objectives, strategies and outlook of the Company and its subsidiaries, the outlook for the North American and international economies for the current fiscal year and beyond, the Company’s expected bonuses in Q2 2022, the expected time and closing of the Offering, the issuance of the Common Shares, the intended use of the proceeds of the Offering and include words such as “expects”, “probable”, “anticipates”, “anticipates” , “believes”, “estimates”, “seeks”, “intends”, “targets”, “projects”, “forecasts” or their negative versions and other similar expressions, or future verbs o u conditionals such as “may”, “will”, “should”, “would” and “could”.

Although we believe that our anticipated future results, performance or achievements expressed or implied by forward-looking statements and information are based on reasonable assumptions and expectations, readers should not place undue reliance on forward-looking statements and information, as they involve known information and unknown risks, uncertainties and other factors, many of which are beyond our control, which may cause our company’s actual results, performance or achievements to differ materially from future results, performance or achievements expectations expressed or implied by such forward-looking statements and information. Readers should note that the Company’s Q2 2022 expected premiums contained in this press release are preliminary estimates, have not been reviewed or audited, and are subject to change as our financial results for Q2 are not finalized. These preliminary estimates are based on currently available information and a number of assumptions and remain subject to the completion of our financial closing procedures, which have not yet been completed and, therefore, our actual results could differ materially from estimates presented here. These estimates should not be considered a substitute for our second quarter 2022 consolidated financial statements prepared in accordance with International Financial Reporting Standards.

Factors that could cause actual results to differ materially from those contemplated or implied by the forward-looking statements include, but are not limited to: developments related to COVID-19, including the impact of COVID -19 on the global economy and financial markets; the impact or unanticipated impact of general economic, political and market factors in the countries in which we operate; the behavior of financial markets, including interest rate and currency exchange rate fluctuations; global equity and capital markets and the availability of equity and debt financing and refinancing in such markets; strategic actions, including provisions; the ability to effectively complete and integrate acquisitions into existing operations and the ability to achieve expected benefits; changes in accounting policies and methods used to report financial condition (including uncertainties associated with critical accounting assumptions and estimates); the ability to adequately manage human capital; the effect of applying future accounting changes; business competition; operational and reputational risks; technological change; changes in government regulations and laws in the countries in which we operate; government investigations; dispute; changes in tax laws; changes in capital requirements; changes in reinsurance arrangements; ability to collect amounts due; catastrophic events, such as earthquakes, hurricanes or pandemics; the possible impact of international conflicts and other developments, including acts of terrorism and cyberterrorism; and other risks and factors detailed from time to time in our filings with the securities authorities in Canada.

We draw your attention to the fact that the foregoing list of important factors that could affect future results is not exhaustive. When relying on our forward-looking statements, investors and others should carefully consider the foregoing factors as well as other uncertainties and potential events. Except as required by law, the Company undertakes no obligation to publicly update or revise any forward-looking statements or information, whether written or oral, that may result from new information, future events or otherwise.