Globe Life Inc. Redemption Of 6.125% Junior Subordinated Debentures Due 2056

Rhea-AI Summary

Globe Life Inc. (NYSE: GL) announced the redemption of its outstanding 6.125% Junior Subordinated Debentures due 2056, totaling $300,000,000, effective July 15, 2021. The debentures will be redeemed at a price of $25.00 each, plus accrued interest of $0.127604167, amounting to a total of $25.127604167 per debenture. Holders of these debentures, which are managed through the Book-Entry Only Issuance System at The Depository Trust Company, will receive notifications accordingly.

Positive

• Redemption of $300,000,000 in outstanding debt improves balance sheet stability.
• Elimination of interest obligations associated with 6.125% junior subordinated debentures.

Negative

• None.

News Market Reaction – GL

-1.06%

-1.06% Session move

In the trading session that priced this news, GL declined 1.06%, reflecting a mild negative market reaction.

Data tracked by StockTitan Argus on the day of publication.

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MCKINNEY, Texas, June 15, 2021 /PRNewswire/ -- Globe Life Inc. (NYSE: GL) will redeem all of its outstanding 6.125% Junior Subordinated Debentures due 2056 on July 15, 2021. There are $300,000,000 principal amount of the debentures currently outstanding. The redemption price will be the liquidation amount of $25.00 per debenture, plus accrued and unpaid interest to the redemption date of $0.127604167 per debenture, for a total payment of $25.127604167 per debenture. Because all the debentures are held through the Book-Entry Only Issuance System at The Depository Trust Company (DTC), holders are notified by DTC.

Globe Life Inc. is a holding company specializing in life and supplemental health insurance for "middle income" Americans marketed through multiple distribution channels including direct response, and exclusive and independent agencies. 

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SOURCE Globe Life Inc.

FAQ

When will Globe Life redeem its 6.125% Junior Subordinated Debentures?

Globe Life will redeem the debentures on July 15, 2021.

What is the total amount of Globe Life's outstanding 6.125% Junior Subordinated Debentures?

The total amount outstanding is $300,000,000.

What will be the redemption price for Globe Life's debentures?

The redemption price will be $25.00 per debenture, plus accrued interest of $0.127604167.

How will debenture holders be notified about the redemption?

Holders will be notified through the Book-Entry Only Issuance System at The Depository Trust Company.