Artex Axcell Re (Series FE0003)

Another private catastrophe bond transaction has come to light from an Artex Risk Solutions entity, as a roughly US $40.6 million Artex Axcell Re (Series FE0003) transaction has emerged that is denominated in Japanese Yen, suggesting the cat bond lite deal likely covers perils from that country.

This latest private cat bond transaction, or cat bond lite of 2025, has been issued by the Artex Axcell Re (Bermuda) Limited transformer and cell facility, which is owned and operated by insurance manager and insurance-linked securities (ILS) facilitator Artex Risk Solutions.

This vehicle based in Bermuda has been used regularly over the years for transacting and issuance of private insurance-linked securities (ILS) notes, from collateralized reinsurance to private cat bonds, with the help of facilitator Artex.

This new issuance sees Artex Axcell Re (Bermuda) Limited, under its ILS Note Program II, having issued JPY 6 billion (roughly US $40.6 million) in Series FE0003 notes.

These new private cat bond notes have a due date of July 23rd 2027, so their coverage runs for approaching two years it seems.

Given the Japanese Yen denomination of these private cat bond notes, we again make the assumption that they will cover a Japanese peril, likely property catastrophe risk in nature, for an unknown Japanese sponsor or entity active there.

The JPY 6 billion of Series FE0003 private cat bond notes issued by Artex Axcell Re have been privately placed with qualified institutional investors and are now listed on the Bermuda Stock Exchange (BSX).

As with every private ILS or cat bond deal that we uncover, until additional information comes to light we make the assumption these feature the securitization of a property catastrophe reinsurance or retrocession risk contract, in this case covering perils in Japan.