Ategrity Specialty Holdings Files IPO to Expand Specialty Insurance Capitalization

Ategrity Specialty Holdings has launched its initial public offering (IPO), offering 6,666,667 shares of common stock with an expected price range of $14 to $16 per share. Concurrent with the offering, the company will reorganize as a Nevada corporation under the name Ategrity Specialty Insurance Company Holdings and plans to list on the New York Stock Exchange with the ticker symbol ASIC, subject to regulatory approval.

Currently domiciled in Delaware, Ategrity operates in the property and casualty insurance sector with authorization to underwrite specific products in one state and surplus lines insurance in 48 states plus the District of Columbia. The company’s IPO aims to enhance capitalisation and financial flexibility, supporting its planned growth initiatives.

Ategrity reported a substantial increase in consolidated net income for 2024, amounting to $47.1 million, a 78% rise compared to $26.5 million in 2023. The raised capital from the IPO will be invested initially in fixed income securities and used for business expansion and general corporate purposes.

J.P. Morgan Securities and Barclays Capital act as joint book-running managers for the offering, while legal counsel for the company and underwriters includes reputable firms such as Latham & Watkins and Skadden, Arps, Slate, Meagher & Flom. The IPO includes a 30-day option for the underwriters to purchase an additional one million shares.

This offering presents an opportunity for investors to participate in a specialty insurance company's growth amid an evolving P&C market, highlighting capital market activity and investor appetite for insurance sector equities. The transition to a publicly listed company could provide Ategrity with expanded resources to pursue strategic expansion and competitive positioning within the U.S. surplus lines insurance market.