Fitch gives American Equity Investment convertibles BB

Fitch Ratings said it assigned a BB rating to American Equity Investment Life Holding Co. 's proposed issuance of 5.25% contingent convertible senior notes due 2029.

The rating watch is negative.

According to the agency, American Equity Investment announced its intention to exchange $56.2 million in principle of its existing 5.25% contingent convertible senior notes for an equal principal amount of the new issuance due 2029.

In addition to the exchanges, Fitch said that American Equity Investment privately placed $52.2 million of the new issuance, adding that the company intends to use the net proceeds from the private placement of this new issuance for general corporate purposes, which may include a reduction of outstanding debt and/or a contribution to the capital and surplus of American Equity Investment Life Insurance Co.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.