OLDWICK, N.J.--(BUSINESS WIRE)--A.M. Best has assigned a Long-Term Issue Credit Rating of “bbb-” to the $325 million 6.125% non-cumulative preferred stock to be issued by Voya Financial Inc. (Voya) (headquartered in New York, NY) [NYSE: VOYA] on Sept. 12, 2018. The outlook assigned to this Credit Rating (rating) is stable. The existing ratings of Voya and its subsidiaries remain unchanged.
The proceeds from the offering will be utilized for general corporate purposes, including the funding of a concurrent tender offer and consent solicitation for $325 million of various outstanding senior notes. The company may call the notes after five years from issuance. A.M. Best anticipates a modest increase in leverage in the short term; however, financial leverage and interest coverage ratios remain well within A.M. Best guidelines for the current ratings. A.M. Best notes that with the successful closings of the sales of Voya’s closed-block variable annuity business and fixed annuity business in June, the company’s ratings are reflective of its leading retirement business, asset management and employee benefits business.
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