American National Successfully Completes Share Redemption
American National Group Inc. (NYSE: ANG PRB) has recently reached a significant milestone by completing the full redemption of all outstanding shares of its 6.625% Fixed-Rate Reset Non-Cumulative Preferred Stock, Series B. This strategic move underscores the company's commitment to optimizing its financial structure and enhancing shareholder value.
Details of the Redemption Process
During this accomplished redemption, the company extinguished 12,000 outstanding shares of the Series B Preferred Stock, which corresponded to 12,000,000 depositary shares—each representing a fractional interest in one share of Series B Preferred Stock. The redemption price was set at $25.00 per Depositary Share, which is equivalent to $25,000 per share of Series B Preferred Stock. Additionally, this amount included any declared but unpaid dividends, ensuring that all financial obligations are met promptly.
Funding the Redemption
To finance this redemption, American National utilized the net proceeds from a previously announced sale of $500,000,000 in aggregate principal amount of its 7.000% Fixed-Rate Reset Junior Subordinated Notes due 2055. This strategic decision showcases American National's robust approach in managing its capital structure and maintaining liquidity while continuing to provide value to its investors.
Impact on Trading and Future Steps
With the completion of this redemption, the New York Stock Exchange (NYSE) has suspended trading for the Depositary Shares. This decision ensures that all trading activities align with the company's new capital structure. Consequently, the NYSE has submitted a notification of removal from listing and registration, marking the voluntary delisting of these securities. Further, American National plans to file for deregistration, a process expected to finalize within 90 days.
About American National Group Inc.
American National Group Inc. is recognized for its diverse portfolio of insurance products and financial services. Serving various markets, the company operates throughout the United States, including all 50 states, the District of Columbia, Puerto Rico, and Bermuda. The offerings include a wide range of retail and institutional annuities tailored to meet the needs of various clients.
Investor Relations and Contact Information
For investors interested in more information, they can reach out to the company’s Investor Relations team. Steven Schwartz, the Treasurer and Head of Investor Relations, is available through the main line at 888-221-1234 ext. 3763. Additional queries can also be directed to sschwartz@american-equity.com, where the team is ready to assist with any questions regarding the latest developments and company strategies.
Frequently Asked Questions
What is the Series B Preferred Stock?
The Series B Preferred Stock is a fixed-rate non-cumulative preferred stock issued by American National Group, designed to provide investors with regular dividends.
Why did American National Group redeem its Series B shares?
The redemption reflects the company’s strategy to optimize its financial structure and enhance shareholder value through better capital management.
How much was the redemption price for the Depositary Shares?
The redemption price was set at $25.00 per Depositary Share, in addition to any accrued dividends.
What is the future of trading for the Depositary Shares?
Trading for the Depositary Shares has been suspended, and the shares will be delisted from the NYSE as part of the redemption process.
Who should investors contact for more information?
Investors may contact Steven Schwartz, the Treasurer and Head of Investor Relations, to obtain more information about the company and the redemption.
