Peak Reinsurance Company Limited (Peak Re) has renewed and expanded the Lion Rock Re sidecar to US$77 million.

The amount, which was sourced from several global investors, will support Lion Rock Re II for 2020 with an increase in capacity for the coming period. According to a statement from Peak Re, this is further testament to the investors’ view that Lion Rock Re gives them access to a unique and high quality portfolio of reinsurance business.

It comes around a year after Peak Re launched Lion Rock Re in Asia’s first reinsurance sidecar transaction. As with the previous instance, Lion Rock Re II will enter into an exclusive quota share arrangement with Peak Re to reinsure part of Peak Re’s global property reinsurance portfolio, the statement said.

“Following on from the steps we took in bringing Lion Rock Re to the industry, we are very pleased to be able to announce that investors have chosen to support us once again,” said Franz Josef Hahn, chief executive officer of Peak Re. “We said that last year was a milestone for the reinsurance market in Hong Kong, but the confidence shown in Lion Rock Re II really shows that Hong Kong can become a hub for ILS investors. Lion Rock Re II will allow us to continue our drive towards modernising reinsurance and bringing more communities under the umbrella of protection that insurance and reinsurance provides.”