On December 20, Aspen Insurance, owned by private equity firm Apollo, filed documents for an initial public offering (IPO) in the United States, as per a regulatory filing. While the filing did not disclose the offering’s size, reports suggest a targeted valuation of $4 billion. The exchange where Aspen plans to list its shares was also not specified.
After going private in 2019 in an all-cash deal valued at $2.6 billion with funds affiliated to Apollo Global Management, Aspen’s return to the public market will be a notable test of investor interest in the sector. Despite a strong first half of the year, recent IPOs in the sector, such as Fidelis Insurance and Hamilton Insurance, have seen their shares trade below the IPO price.
For the nine months ending September 30, Aspen reported a net income of $305.2 million, a significant improvement from the $112.8 million loss reported in the same period the previous year. However, net written premiums for the same period were $1.98 billion, down from $2.29 billion the previous year.
Headquartered in Bermuda and founded in 2002, Aspen Insurance underwrites specialty insurance and reinsurance globally through its wholly-owned subsidiaries. Leading the IPO are Goldman Sachs and Citigroup, acting as the primary underwriters for the offering. The market will be closely monitoring Aspen’s IPO as it navigates the evolving dynamics of investor interest in the insurance sector.
