Mangrove Risk Solutions Bermuda Ltd. (Series 2025-G)

This private catastrophe bond is the eighth issuance of a cat bond lite that we’ve seen come out of the Mangrove Risk Solutions Bermuda Ltd. platform that is operated by Marsh McLennan and reinsurance broker Guy Carpenter.

It is the fourth private cat bond from the Mangrove platform of 2025 so far, lifting deal volume from the platform to $136.13 million year-to-date.

This new series of privately placed insurance-linked securities (ILS) issued by Mangrove Risk Solutions Bermuda Ltd. is a Series 2025-G deal.

Mangrove Risk Solutions Bermuda Ltd. has issued approximately $4.95 million of discounted zero-coupon Class E participating notes, on behalf of one of its segregated accounts named 2025-G.

The $4.95 million of ILS notes have been sold in a private placement to qualified investors, while the collateral raised is assumed to underpin a reinsurance or retrocession agreement that the segregated cell and trust are subject to.

The $4.95 million of Series 2025-G Class E private cat bond notes that Mangrove Risk Solutions has issued are due for maturity on June 12th 2026, we understand.

That maturity date suggests this could be a reinsurance or retrocession deal entered into around the mid-year renewals, that has since been transformed and securitized to provide it in a format investors wanted. Or it could be a freshly arranged reinsurance or retro deal with a term of less than one year.

As with every private ILS or cat bond deal, until further details come to light we assume these cover property catastrophe reinsurance or retrocession risks.

Private ILS or cat bond lite arrangements typically fall into one of a number of use-cases. Either as a straight collateralised reinsurance or retro cover for a carrier, that has been transformed and securitised, to be assumed by a single ILS fund or investor, or for a small group of funds/investors, or, ILS fund-to-fund transactions (hedging), or the transformation to securities of a specific risk transfer arrangement, such as an industry-loss warranty (ILW).

Guy Carpenter’s specialist ILS broker-dealer and investment banking unit GC Securities is likely to have structured the transaction and acted as a bookrunner or placement agent for this latest Mangrove Risk Solutions private ILS transaction.

Marsh Management Services will have acted as the insurance manager for the structure itself, as has been the case with all the previous issuances under the Mangrove structure and under its former name Isosceles.

As a Bermuda domiciled insurance-linked securities (ILS) structure, these private cat bond notes have been listed on the Bermuda Stock Exchange (BSX), enhancing their liquidity, while Appleby has acted as their listing sponsor.