Envelop Risk Analytics Limited (“Envelop”) announced investment led by SoftBank Vision Fund 2

Envelop announced it agreed to terms on an investment led by SoftBank Vision Fund 2 (“Softbank”)

• The Series B investment of $130 million from Vision Fund 2 closed in October 2021
• As a result of the investment, SoftBank investor Neil Cunha-Gomes joined Envelop Risk’s board of directors

The Softbank-led investment in Envelop enabled the company to progress multiple strategic initiatives, including

• Critically, establishing a risk-taking platform; enabling the firm to deploy its own risk capital in alignment with existing partners
• Expansion in its proprietary machine learning and data driven underwriting in London and Bermuda
• Expansion and continued leadership of Envelop’s cyber reinsurance and cyber technology partnerships
• Investment in predicative analytics for cyber risk to commercial entities will be expanded
• The launch of new products in the next year for adjacent areas of corporate cyber risk

Envelop Risk underwrites bespoke reinsurance, differentiating its products using advanced cyber analytics

• Envelop partners with cyber technology firms to launch embedded insurance solutions
• Envelop underwrote over $250 million of business from 2018-transaction, leading in industry benchmarks for performance
• In May 2020, Envelop announced it had secured Series A funding led by Alpha Intelligence Capital and existing investors

The investment in Envelop was made through the Softbank Vision Fund 2

• The Envelop investment is thought to be the first direct specialty/P&C reinsurance investment by SoftBank(a)
• Softbank’s other investments in technology-led insurance businesses include:
  • Lemonade, Ethos, Policybazaar, and ZhongAn Insurance

TCMA acted as general corporate finance advisor to Envelop; key roles and responsibilities included:

• Providing objective advice and acting as confidant to Envelop
• Assistance in discussions with the potential investors, and acting as an advocate of Envelop and its story
• Ensuring the commercial DD process was comprehensive, and that Envelop was correctly positioned in the market
• Ongoing corporate finance advice provided to Envelop as it explores further growth / capital deployment initiatives