Lancashire Holdings secures $300m lending facility

Lancashire Holdings’ fully-owned subsidiary Lancashire Insurance Co Ltd has entered into a new $300m (£211m) five-year letter of credit and credit facility with Lloyds and Barclays Bank as joint bookrunners.

The letters of credit will be used to support obligations under reinsurance liabilities of Lancashire Insurance Company Limited.

Lancashire's Head of Investments and Treasury, Denise O’Donoghue, said: “The Lancashire group is very pleased to have the continued support of this strong syndicate of lenders, all of whom represent core relationship banks to Lancashire. This renewal allows Lancashire to maintain financial flexibility and strength for our clients.”

Richard Askey, Relationship Director at Lloyds, said: “We are delighted to have worked with Lancashire on this transaction and to continue to provide a financing structure to support the Lancashire group. This new facility represents a further consolidation of our relationship.”