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Velocity Risk announces acquisition by Oaktree

Written by Customer Service on . Posted in Mergers And Acquisitions.

Nashville, TN, Dec. 28, 2021 (GLOBE NEWSWIRE) — Velocity Risk Underwriters, LLC (“Velocity Risk”), a catastrophe-focused property and specialty insurance risks managing general agent (“MGA”), has announced its acquisition by funds managed by Oaktree Capital Management, L.P. (“Oaktree”), a leading global investment manager specializing in alternative investments.

Founded in 2015 by Nephila Capital (“Nephila”) and headquartered in Nashville, Tennessee, Velocity Risk provides insurance coverage to clients in catastrophe-exposed areas of the United States. Since its inception, Velocity Risk has been focused on providing best in class products and services in selected markets.

Phil Bowie, Velocity Risk’s CEO, said, “The launch of Velocity Risk was designed to disrupt the value chain between insurance and capital, through innovative underwriting and operational efficiency. We are thrilled to have received Oaktree’s support and believe we have the right investor in Oaktree to help us continue building out our business.”

“Velocity Risk has established itself as a leading property-focused MGA through the quality of its management team, its strong underwriting results and its investment in enabling technologies. We are excited to partner with the Company and support its track record of driving growth and delivering value for its stakeholders,” added Greg Share, Managing Director in Oaktree’s Global Opportunities Group.

Frank Majors, co-CEO of Nephila said, “We’re delighted to be partnering with Oaktree and are confident they will help Velocity Risk continue to build on its past successes. We look forward to continuing to work with Velocity Risk through our ongoing minority shareholding.”

Evercore served as sole financial adviser to Velocity Risk and Willkie Farr & Gallagher LLP served as legal counsel to Velocity Risk. TigerRisk Capital Markets & Advisory served as exclusive financial advisor to Oaktree and Debevoise & Plimpton LLP served as legal counsel to Oaktree.

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About Velocity Risk Underwriters, LLC

Velocity Risk is committed to coastal customers, offering property coverage to homes and businesses most at risk from severe storms and other catastrophes. Velocity Risk is licensed in 50 states as a general agency and underwrites property programs through A.M. Best “A” rated carriers. Some products may only be available in certain states, and some products may only be available from surplus lines insurers. For more information visit www.velocityrisk.com and follow us on Twitter and Instagram @VelocityRisk or Facebook.com/VelocityRiskUnderwriters.

About Oaktree

Oaktree is a leader among global investment managers specializing in alternative investments, with $158 billion in assets under management as of September 30, 2021. The firm emphasizes an opportunistic, value-oriented and risk-controlled approach to investments in credit, private equity, real assets and listed equities. The firm has over 1,000 employees and offices in 19 cities worldwide. For additional information, please visit Oaktree’s website at http://www.oaktreecapital.com/.

 About Nephila Capital

Nephila is a leading investment manager specializing in catastrophe and non-catastrophe specialty (re)insurance, climate, and weather risk. The firm has been active in the insurance-linked securities markets since launching its first fund in 1998 and offers a broad range of investment products focusing on instruments such as insurance-linked securities, catastrophe bonds, insurance swaps, and private transactions across its robust platform. Nephila has approximately $9.3 billion in assets under management as of November 1, 2021 and is headquartered in Bermuda, with offices in San Francisco, CA, Nashville, TN, and London. There are currently over 130 employees across its various business lines with expertise in finance, seismic engineering, catastrophe modeling, risk management and traditional underwriting. Further information can be found at nephila.com.

CONTACT: Doris Dunn
Velocity Rick
(615) 679-6856
ddunn@velocityrisk.com

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