OLDWICK, N.J.--(BUSINESS WIRE)--AM Best has assigned a Long-Term Issue Credit Rating (Long-Term IR) of “a-” (Excellent) to Primerica, Inc.’s (Primerica) (headquartered in Duluth, GA) recently announced $600 million 2.8% senior unsecured notes, due November 2031. The outlook assigned to this Credit Rating (rating) is stable. All other Long-Term IRs of Primerica and its subsidiaries are unchanged.
The net proceeds from the senior debt offering will be used to retire Primerica’s outstanding $375 million 4.75% senior unsecured notes maturing July 15, 2022, as well as approximately $125 million of borrowings outstanding under their revolving credit facility as of September 30, 2021. The remaining proceeds will be used for general corporate purposes. Following the issuance of the senior unsecured notes, Primerica’s financial leverage will temporarily rise with coverage metrics slightly declining, but will remain within the guidelines that support the current rating.
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