Skyward Specialty Insurance Group, a specialty property & casualty insurer focused on underserved markets, announced terms on Wednesday for what would be the first sizable IPO of 2023.
The Houston, TX-based company plans to raise $128 million by offering 8.5 million shares (44% secondary) at a price range of $14 to $16. At the midpoint of the proposed range, Skyward Specialty Insurance Group would command a fully diluted market value of $588 million.
Skyward Specialty offers commercial property and casualty products and solutions on a non-admitted (or excess and surplus) and admitted basis, predominantly in the US. For the nine months ended September 30, 2022, the company wrote $879 million in gross written premiums and had a combined ratio of 94.7%. Its largest underwriting divisions included industry solutions (multi-line coverage for the construction, energy, and specialized trucking industries), global property (E&S property-only solutions), and programs (program administrators writing multi-line coverage).
Skyward Specialty Insurance Group was founded in 2006 and booked $602 million in revenue for the 12 months ended September 30, 2022. It plans to list on the Nasdaq under the symbol SKWD. Barclays, Keefe Bruyette Woods, Piper Sandler, JMP Securities, Truist Securities, and Raymond James are the joint bookrunners on the deal. It is expected to price during the week of January 9, 2023.
