EOS Wind Ltd. – Full details:
Originally targetting $100m of cover for Munich Re, this deal has completed at $80m (most likely due to the fast approaching hurricane season).
The Dublin, Ireland based EOS Wind Ltd. will provide Munich Re with $80m of cover on a per-occurrence basis over a four year period and uses a PCS index for the portion which covers U.S. hurricanes and a Paradex index for the portion which covers European windstorms.
$50m of Class A Notes are exposed to U.S. hurricane events and utilize a state-weighted per occurrence PCS index trigger structure based on insured losses reported by PCS from a hurricane event.
The $30m Class B Notes are exposed to U.S. hurricane events for which they use the same PCS index trigger as the Class A Notes, as well as European windstorm events for which it will utilize a country-weighted Paradex trigger.
MEAG, Munich Re’s asset management company, created a fund for U.S. Treasury Bills which will act as the collateral for the deal. Investers will receive variable-rate interest from the T Bills fund.