Overview
- Orion180, which priced its IPO on Sept. 17, sold 20 million shares at $12 each and raised $240 million with underwriters holding a 30-day option to buy an additional 3 million shares.
- The stock opened below the offering on Sept. 18 at about $11.50 and traded down from the IPO price, valuing the company at roughly $1.14 billion.
- Founder and CEO Kenneth Gregg said the below-range pricing was the right choice for the company despite the softer market for new listings.
- Market participants are treating Orion180’s debut as an early test for other insurer deals this fall, including CVC-backed Bamboo Insurance and Hellman & Friedman-backed Hub International, and it may influence their pricing and timing.
- Orion180 writes excess-and-surplus homeowners policies in 14 states, and investors will closely watch reported loss ratios and underwriting performance to judge whether the company can use the new capital to sustain growth.