A.M. Best Assigns Ratings to Maiden Holdings, Ltd. Senior Notes and Shelf Registration

A.M. Best has assigned an issue rating of “bbb-” to the recently announced $110 million 6.625% senior unsecured notes due 2046 to be issued by Maiden Holdings, Ltd. (MHL) (NASDAQ: MHLD) (Hamilton, Bermuda). In addition, A.M. Best has assigned indicative ratings of “bbb-” for senior unsecured securities, “bb+” to subordinated securities and “bb” to preferred securities that may be issued under the company’s recently submitted shelf registration. The outlook assigned to each rating is positive.

Proceeds from the notes issuance will be used for continued development of MHL’s reinsurance business and for general corporate purposes, which may include repayment of $107.5 million 8.25% senior unsecured notes due 2041 issued by MHL subsidiary Maiden Holdings North America, Ltd.

Following the issuance of the 2046 notes and redemption of the 2041 notes, MHL’s ratio of debt to total capital – adjusted to afford equity credit for hybrid securities – will measure 27.8%, which is within A.M. Best guidelines for the rating. Interest coverage is also within guidelines.

This press release relates to rating(s) that have been published on A.M. Best’s website. For all rating information relating to the release and pertinent disclosures, including details of the office responsible for issuing each of the individual ratings referenced in this release, please see A.M. Best’s Recent Rating Activity web page.

A.M. Best is the world’s oldest and most authoritative insurance rating and information source. For more information, visit www.ambest.com.

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