OLDWICK, N.J.--(BUSINESS WIRE)--A.M. Best has assigned a Long-Term Issue Credit Ratings (Long-Term IR) of “bbb+” to the recently announced $300 million floating rate senior unsecured notes due 2021, $300 million 4.2% senior unsecured notes due 2023 and $300 million 4.9% senior unsecured notes due 2028 of Assurant, Inc. (Assurant) (headquartered in New York, NY) (NYSE:AIZ). In addition, A.M. Best has assigned a Long-Term IR of “bbb” to $400 million 7.0% subordinated notes due 2048 and a Long-Term IR of “bbb-” to $288 million 6.50% Mandatory Convertible Preferred Stock due 2021. The outlook assigned to these Credit Ratings (rating) is stable.
Following the debt and preferred stock issuance, financial leverage will remain within guidelines for the assigned rating. Assurant intends to use the net proceeds from the preferred stock and debt offerings along with available cash on the balance sheet to fund the company’s previously announced acquisition of The Warranty Group, refinance its 2.50% senior notes which matured March 15, 2018, and pay related fees and expenses.
Assurant’s Long-Term Issuer Credit Rating of “bbb+”, its existing Long-Term IRs and the ratings of its operating insurance subsidiaries are unchanged.
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