Vesttoo, the digital insurance risk transfer and investment platform, has closed its $80m Series C financing round, which it says has raised the valuation of the company to $1bn.
The round was co-led by Mouro Capital and a private equity fund. A US-based bulge-bracket investment bank, Gramercy Ventures, Black River Ventures, and Hanaco Ventures also participated in the round.
The Series C comes less than a year after Mouro Capital led Vesttoo’s Series B round with participation from MS&AD Holdings. Hanaco Ventures led the Series A round in August 2021.
Since then, Vesttoo has further developed its AI-based marketplace, the Company’s data-driven platform that facilitates the investment of new sources of capital in the insurance market. Investors benefit by accessing a low-volatility risk class uncorrelated to financial markets.
Vesttoo intends to use the capital raised to further expand its global presence, enhance its marketplace platform, and widen its offering to insurers and investors.
Our clients and equity partners understand the Vesttoo vision and the opportunity we provide. In a time rife with uncertainty, Vesttoo is showing resilience, financial strength and profitability, thanks to our compelling value proposition. Our AI-based marketplace is set to propel the insurance industry forward by better connecting risk to capital sourced from global investors.Yaniv Bertele, CEO of Vesttoo
Earlier this year, the firm said it had entered into a $1bn reinsurance agreement with Clear Blue.
Last year, Vesttoo announced a $15m Series B equity investment from Mouro Capital and MS&AD Ventures, the corporate venture capital fund of Japan-based MS&AD Insurance Group Holdings.
The Series B round, which came just three months after Hanaco Ventures led the company’s Series A round, was announced as being used to expand Vesttoo’s Insurance-Linked Program (ILP).
Vesttoo will be offering a security-based investment portfolio, as well as a fully digital marketplace for insurance-based risk transfer and investments.
The Vesttoo Marketplace will allow investors to access a variety of reinsurance products and monitor their performance with transparent and data-driven analytics, while also modelling risk portfolios, providing premium quotes for related reinsurance coverage, and expediting the placement of ceded risks to the market.
by Peter Sonner