John Butler is set to lead a Cohen & Company, LLC backed insurance, reinsurance and insurtech acquisition vehicle which is hoping to raise up to $150 million for its launch as a so-called blank check company.
Insurance Acquisitions Corporation will offer third-party investors 13 million shares at $10 each, in a capital raise that hopes to secure up to $150 million for an insurance, reinsurance and insurance technology (insurtech) focused acquisition play, according to a filing.
The company, Insurance Acquisitions Corp., will have its shares listed on the Nasdaq Capital Market after launch and will seek to put any money raised to work in forming an initial combination that adds value for its shareholders.
John Butler, formerly a Managing Partner at ILS investment specialist Twelve Capital, joined fixed income financial services firm Cohen & Company, LLC in 2017 to help them to develop a U.S. Insurance Asset Management Platform and Global ILS Program.
Butler is set to be the CEO and President of Insurance Acquisition Corp., so will play a key role in deciding where any capital raised is deployed in the vehicles first acquisitions.
Also set to be officers for the acquisition company are Paul Vernhes as CFO, an experienced insurance and reinsurance executive who works for Cohen & Co. in France, and the Cohen & Co. founder Daniel Cohen as Chairman.
Daniel Cohen has specific experience in raising funds for these blank check companies and deploying capital into acquisitions in the financial technology (fintech) space profitably, alongside his wealth of experience in fixed income and capital markets.
Given the expertise of Butler and Vernhes, which ranges across traditional insurance and reinsurance through to private insurance debt and insurance-linked securities (ILS) investing, the trio have significant expertise and an understanding of the market forces driving re/insurance currently, hence any acquisitions they make are sure to be interesting.
Cantor Fitzgerald is assisting with the capital raise as the sole book running manager for the capital raise. The capital raise may reach almost $150 million including shares to be purchased by Cantor, the sponsors and initial backers (assumed to be Cohen & Company itself).