Oxbridge Re Holdings Initiates Digital Token Offering for Reinsurance Participation Shares

Oxbridge Re Holdings Limited announced on February 26, 2025, that its indirect wholly owned subsidiary, SurancePlus Inc., has commenced an offering of Participation Shares represented by digital tokens. The offering is structured under a three-year Participation Share Investment Contract (PSIC) and involves the issuance of tokens labeled “ZetaCat Re” and “EtaCat Re,” which designate high yield and balanced yield options, respectively.

At the outset of the offering, SurancePlus plans to issue up to one million Participation Shares at an initial price of $10.00 per token. The structure includes tiered discounts, providing a 5% discount for investments over $50,000 and a 10% discount for investments exceeding $100,000. It is noted that the Participation Shares are not equivalent to ordinary shares in either SurancePlus or Oxbridge Re Holdings Limited and do not carry preemptive or conversion rights. Instead, these tokens confer contractual rights as defined in the PSIC.

According to the announcement, the net proceeds generated from the offering will be utilized by SurancePlus to acquire participating notes of Oxbridge Re NS—an affiliated reinsurance entity licensed in the Cayman Islands. The funds raised will subsequently be directed into collateralized reinsurance contracts underwritten by Oxbridge Re NS. Participation Share holders will generally receive proceeds based on the payment of these participating notes, including a preferred return equal to the initial Participation Share price plus an additional 20%, with any remaining proceeds shared at an 80% allocation to the holders.

The offering is being conducted on an exempt basis. The digital tokens have not been registered under the Securities Act of 1933 or applicable state securities laws, and the offer is available exclusively to accredited investors in the United States under SEC Rule 506(c) and to non-U.S. persons in accordance with Regulation S.

The filing, part of a current report on Form 8-K, also contains forward-looking statements regarding the anticipated future benefits of the reinsurance strategy. These statements caution that actual results could differ materially from current expectations due to various risks and uncertainties, as further detailed in the company’s filings with the Securities and Exchange Commission.

The report was duly signed on behalf of Oxbridge Re Holdings Limited by Chief Financial Officer and Secretary Wrendon Timothy on February 27, 2025.

This article was generated by an automated content engine and was reviewed by a human editor prior to publication. For additional information, read Oxbridge Re’s 8K filing here.

About Oxbridge Re

Oxbridge Re Holdings Limited, through its subsidiaries, provides specialty property and casualty reinsurance solutions. The company underwrites collateralized reinsurance contracts primarily for property and casualty insurance companies in the Gulf Coast region of the United States. It also issues reinsurance contracts through digital securities by blockchain technology.