Ariel Re completes first fundraising for new capital platform ARCP

It enables smaller investors to access Lloyd’s market via Syndicate 1910

Ariel Re completes first fundraising for new capital platform ARCP

Reinsurance

By Kenneth Araullo

Ariel Re has announced the successful completion of the first fundraising round for its new third-party capital platform, Ariel Re Capital Partners (ARCP).

The vehicle, launched in 2024, is designed to provide investors with access to Ariel Re’s underwriting returns while streamlining the process for smaller investors to enter the Lloyd’s of London market. 

ARCP allows investors, including smaller funds, family offices, and ultra-high-net-worth individuals, to participate in Lloyd’s risk with a minimum investment of US$5 million through Ariel Re’s Syndicate 1910. The platform eliminates the need for investors to establish a Lloyd’s Corporate Member, making it more accessible to a wider range of capital providers. 

Ariel Re confirmed that ARCP closed in December after securing its first tranche of investors. The vehicle utilizes Lloyd’s London Bridge 2 transformer model, which was created to attract alternative capital into the market.

The company did not disclose the total funds raised but said that the initial investment will provide approximately 10% of the capital required for the 2025 year of account. 

Henry Paddison (pictured above), head of capital development and investor relations at Ariel Re, said that ARCP was structured to simplify the investment process for smaller investors seeking exposure to the Lloyd’s market, specifically through Syndicate 1910.

“We believe ARCP is a great opportunity for smaller investors looking to diversify their portfolios, and we are delighted to have successfully closed its first capital raise,” Paddison said.

Paddison also said that ARCP will help Ariel Re attract a broader range of investors, providing a multi-year source of capital for the business.

“There has been strong investor interest in the first capital raise, and we are confident that ARCP will provide Ariel Re with a growing source of multi-year capital in the years to come,” he said.

Burkhard Keese, chief financial officer of Lloyd’s, commented that Ariel Re’s use of the London Bridge 2 platform reflects an innovative approach to attracting institutional investors to support Syndicate 1910.

“This fund raise demonstrates how London Bridge 2 can be used to expand and diversify sources of capital by tapping into a larger investment pool,” Keese said.

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