NU Online News Service, Dec. 19, 2003, 12:52 p.m. EST – Scottish Re Group Ltd., Hamilton, Bermuda, says it and its investment bankers have assigned a price of $25 per unit to a previously announced offering of 5 million hybrid capital units.[@@]
Demand for the offering has been strong, and the investment bankers have exercised an option to buy an additional 750,000 units, Scottish Re says.
The units combine a share purchase contract and a convertible preferred share with a conversion price of $23.57.
Bear, Stearns & Company Inc., New York, is the book-running manager for the offering.
Scottish Re is a life reinsurer. The company, which now reinsures life policies with a face value of about $105 billion, recently agreed to pay $151 million in cash for 95% of the stock of ERC Life Reinsurance Corp., a U.S. life reinsurance unit of General Electric Company, Fairfield, Conn. ERC Life reinsures life policies with a face value of about $170 billion.