Montpelier Re Announces $450 Million Credit Line

Montpelier Re Holdings Ltd. announced that it has entered into a $450 million credit agreement with a syndicate of lenders.

“The agreement is a three-year secured facility that allows Montpelier to issue up to $450 million in letters of credit,” said the bulletin. “The facility also incorporates a $50 million revolving line of credit for general corporate purposes.”

Banc of America Securities LLC and Banc One Capital Markets, Inc. acted as Joint Lead Arrangers, with Barclays Bank PLC, ING Bank N.V. and HSBC Bank USA acting as Co-Documentation Agents. Banc of America, N.A will act as Administrative Agent.

Montpelier’s treasurer Neil McConachie commented: “We are extremely pleased to have closed this transaction with such a strong group of financial partners. We are particularly appreciative of the fact that all of our existing partners chose to renew their commitment to this facility for a further three years. This agreement secures significant liquidity and flexibility for Montpelier, in supporting our existing and anticipated client needs.”