American Equity commences debt exchange offers
Monday, August 26, 2013 4:27 PM
American Equity Investment Life Holding Co. announced Friday that it intends to commence exchange offers for more than $300 million of its outstanding notes. The West Des Moines-based insurer, which is a leading underwriter of indexed annuity products, said it plans to purchase any and all of its $200 million in 3.5 percent outstanding convertible senior notes due 2015 and any and all of its $115.8 million in 5.25 percent outstanding contingent convertible senior notes due 2029. Last month, American Equity issued $400 million in 6.625 percent senior notes due 2021. The company said at that time the bulk of the proceeds from that issue would be used to purchase outstanding convertible notes through exchange offers. Note holders will receive cash or in some instances new common stock.