F&G Annuities & Life Prices Junior Subordinated Notes Offering
Rhea-AI Summary
F&G Annuities & Life (NYSE: FG) has announced the pricing of a public offering of $375 million in junior subordinated notes, due 2065, with a 7.300% interest rate. The offering is expected to close on January 13, 2025, subject to customary conditions.
The company plans to use the net proceeds for general corporate purposes, including the repurchase, redemption, or repayment of outstanding debt at maturity. The offering is being managed by a group of prominent financial institutions including Wells Fargo Securities, BofA Securities, J.P. Morgan Securities, Morgan Stanley & Co., and RBC Capital Markets as joint book-running managers.
The public offering is being conducted through a registration statement filed with the SEC, with prospectus and supplementary materials available through various channels.
Positive
- Secured $375 million in new financing through notes offering
- Strong syndicate of major investment banks managing the offering
- Potential debt restructuring opportunity through repayment of existing debt
Negative
- High interest rate of 7.300% on the new notes
- Long-term debt obligation extending to 2065
- Increased debt burden on company's balance sheet
News Market Reaction
On the day this news was published, FG gained 1.90%, reflecting a mild positive market reaction.
Data tracked by StockTitan Argus on the day of publication.
F&G intends to use the net proceeds of this offering for general corporate purposes, including the repurchase, redemption or repayment at maturity of outstanding indebtedness.
Wells Fargo Securities, LLC, BofA Securities, Inc., J.P. Morgan Securities LLC, Morgan Stanley & Co. LLC and RBC Capital Markets, LLC are acting as joint book-running managers for the offering of the notes.
The public offering is being made pursuant to a registration statement (including a prospectus, as supplemented) that F&G has filed with the
This press release does not constitute an offer to sell, or a solicitation of an offer to buy, any security and shall not constitute an offer, solicitation or sale in any jurisdiction in which such offer, solicitation or sale would be unlawful.
About F&G
F&G is committed to helping Americans turn their aspirations into reality. F&G is a leading provider of insurance solutions serving retail annuity and life customers and institutional clients and is headquartered in
Forward-Looking Statements
This press release contains forward-looking statements as that term is defined in the Private Securities Litigation Reform Act of 1995. Forward-looking statements include statements that are not related to present facts or current conditions or that are not historical facts, as well as statements that address activities, events, or developments that F&G anticipates will or may occur in the future, including, but not limited to, such things as the anticipated timing and closing of the offering of the notes, the use of net proceeds from the offering of the notes and other such matters. You can identify forward-looking statements by words such as "believe," "expect," "anticipate," "intend," "plan," "estimate," "predict," "project," "seek," "outlook," "future," "will," "would," "should," "could," "may," "can have," "likely" and similar terms. Forward-looking statements include statements based on management's current expectations and assumptions about future events. Forward-looking statements are subject to known and unknown risks and uncertainties, many of which are beyond F&G's control, that could cause actual results to differ materially from those in or implied by the forward-looking statements. Factors that may cause such differences include the risks and uncertainties described in F&G's Annual Report on Form 10-K for the year ended December 31, 2023, as amended, F&G's Quarterly Reports on Form 10-Q for the quarterly periods ended March 31, 2024, June 30, 2024 and September 30, 2024 and the other reports and filings F&G makes with the SEC. These forward-looking statements speak only as of the date of this press release. F&G disclaims any obligation to update or revise any forward-looking statement, whether as a result of new information, future developments, changes in assumptions or otherwise.
Contact:
Lisa Foxworthy-Parker
SVP of Investor & External Relations
515.330.3307
Investor.relations@fglife.com
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SOURCE F&G Annuities & Life, Inc.
FAQ
What is the interest rate and maturity of F&G's (FG) new junior subordinated notes?
How much is F&G (FG) raising through its January 2025 notes offering?
When will F&G's (FG) January 2025 notes offering close?
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Which investment banks are managing F&G's (FG) 2025 notes offering?
