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Insr - Private placement successfully completed

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Oslo, 25 June 2020 

Insr Insurance Group ASA (“Insr” or the “Company”) is pleased to announce that it successfully raised approximately NOK 55.6 million in gross proceeds through a private placement of 14,815,625 shares, at a price per share of NOK 3.75 per share. This represents a 3.6% premium to today’s closing price of NOK 3.62.

The net proceeds from the private placement will be used to continue and further intensify the digitalisation of the white label strategy and for general corporate purposes.

As of 31 March 2020, the solvency ratio was 117%. Including the proceeds from the private placement, the proforma solvency ratio is approximately 138%. Additional equity also improves the utilisation of the available hybrid capital. The company will consider whether to repay surplus Tier 1 hybrid capital to optimise Insr’s use of capital.

Espen Husstad, CEO of Insr Insurance Group, comments: "We are very pleased with the strong support from both new and existing investors and are truly enthusiastic about how this can fuel our growth agenda.” 

The new shares will be issued based on the Board authorisation granted by the Company's Annual General Meeting held on 20 May 2020. Notification of allocation and payment instructions will be sent to applicants on or about 26 June 2020. Delivery of allocated shares to subscribers in the private placement is expected on or about 3 July 2020. New shares will be tradable when the new capital is registered with the Norwegian Register of Business Enterprises, expected on or about 2 July 2020.

The Board has considered alternative structures for raising new equity. Following careful consideration, the Board is of the view that it will be in the common interest of Insr and its shareholders to raise equity through a private placement, setting aside the pre-emptive rights of the shareholders. By structuring the transaction as a private placement, Insr can raise capital in an efficient manner and with significantly lower risks than a rights issue. The private placement improves the solvency position and accelerates the profitable growth trajectory. As the issue is done at a slight premium to the share price, no repair issue is deemed necessary.

 

The following primary insiders have been allocated shares in the Private placement: 

  • Chairman Øystein Engebretsen with related parties have been allocated 60,000 shares and will subject to completion of the Private placement hold 4,711,500 shares in the Company. 
  • Board member Dr. Immo Querner has been allocated 53,333 shares and will following the private placement hold 203,333 shares in the Company.
  • CEO Espen Husstad has been allocated 133,333 shares and will following the private placement hold 909,546 shares and 2,302,000 options in the Company.
  • EVP Sales Cathrine Christiansen has been allocated 53,333 shares and will following the private placement with related parties hold 79,307 shares and 387,000 options in the Company.
  • EVP Customers Ingvild Gråberg has been allocated 40,000 shares and will following the private placement hold 40,000 shares and 457,000 options in the Company.

Investment AB Öresund, employer of Chairman Engebretsen and therefore required to communicate share transactions, has been allocated 3,687,963 shares and will following the private placement hold 40,570,334 shares in the Company.

In addition, the following investors referenced in the previous stock exchange release have been allocated shares in the following way:

  • Hugo Maurstad, through the company Funkybiz AS which he controls, has been allocated 6,666,666 shares.
  • Celox Group has been allocated 2,000,000 shares.
  • Kistefos has been allocated of 1,333,406 shares.

Carnegie AS has acted as sole bookrunner for the private placement. 

 

For further information, please contact: 

Anne B. Knudtzon, SVP Business Controlling & Investor Relations 
T: +47 926 10 606 
E: anne.b.knudtzon@insr.io 

 

Partnership insurance made easy. Insr enables you to broaden your customer or member offering through white label and co-branding insurance solutions. We provide insurance risk capital and insurance expertise, whilst you maintain your customer or member relationship. Insr is regulated by the Norwegian FSA (Finanstilsynet) and has a license for all groups of non-life insurance, except for credit and guarantee insurance. 

Insr Insurance Group ASA was established in 2009 and is an independent insurance group listed on the Oslo Stock Exchange, with headquarters in Oslo. The Company’s main focus is on the market for property and casualty insurance for the retail and small enterprise segments in Norway. Insr distributes its products mainly through partners and insurance agents.