PLATINUM UNDERWRITERS TRIMS SIZE OF IPO

Platinum Underwriters Holdings, the Bermuda-based reinsurance business of US commercial p/c group St Paul Cos, has cut the size of a proposed initial public offering (IPO) to 34m shares from 40m. The move means that the proceeds from the deal will be around $780m instead of $920m, according to a filing by Platinum with US securities regulators. The reinsurer said that most of the difference would be covered by a $125m offering of equity security units that would include a contract to buy Platinum shares in 2005 and an interest in a senior note due in 2007. St Paul had originally planned the public offer for April, but delayed the deal owing to poor market conditions. The rescheduled IPO in July was also postponed. The sale of shares is being managed by Goldman Sachs, Merrill Lynch and Salomon Smith Barney.