Swiss Re Insurance-Linked Fund Management

Original Risk: A Society for Change Agents

Chile’s World Bank cat bond target lifted again, now up to $350m


The Republic of Chile is clearly seeing strong investor demand for its new IBRD – Chile 2023 parametric earthquake catastrophe bond, with the World Bank IBRD issued transaction set to increase again, with between $325 million and $350 million now targeted.

Chile catastrophe bond 2023Artemis reported first that the Republic of Chile was aiming to secure at least $150 million of parametric earthquake disaster insurance protection through the issuance via the World Bank’s multilateral development bank, the International Bank for Reconstruction and Development.

To read more details on the structure of the Chile catastrophe bond transaction and its parametric trigger please see our Deal Directory entry.

As we reported yesterday, sources told us that the target size for this new Chile catastrophe bond issuance was being pitched at between $250 million to as much as $300 million, so a possible 100% upsizing from the initial launch to investors.

At the same time the pricing guidance was updated, with it falling to the bottom end of the initial range, at 4.75%.

Now, another updated piece of information on this new World Bank facilitated parametric earthquake cat bond for Chile has emerged.

The target size of the issuance has been increased again, with now between $325 million and $350 million aimed for.

So, Chile’s new catastrophe bond will at least double in size, while the pricing will settle at the low-end of the initially marketed range.

The Republic of Chile’s new catastrophe bond has been very well-received, with the upsizing and pricing indicating strong execution.

You can read all about this new IBRD – Chile 2023 catastrophe bond in the extensive Artemis Deal Directory.

Artemis Live - ILS and reinsurance video interviews and podcastView all of our Artemis Live video interviews and subscribe to our podcast.

All of our Artemis Live insurance-linked securities (ILS), catastrophe bonds and reinsurance video content and video interviews can be accessed online.

Our Artemis Live podcast can be subscribed to using the typical podcast services providers, including Apple, Google, Spotify and more.

Print Friendly, PDF & Email

Artemis Newsletters and Email Alerts

Receive a regular weekly email newsletter update containing all the top news stories, deals and event information

  • This field is for validation purposes and should be left unchanged.

Receive alert notifications by email for every article from Artemis as it gets published.