AEL specializes in the sale, through independent agents, banks, and broker dealers, of fixed index annuities. These investment products support individuals in preserving their retirement dollars and provide a secure, predictable income.
The partnership reflects a meaningful investment for
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Brookfield will acquire a 19.9% ownership interest in the common shares of AEL in two stages: an initial purchase of a 9.9% interest at$37.00 per share promptly following required regulatory approval, and a second purchase of an incremental 10.0% interest, at the greater value of$37.00 per share or adjusted book value per share. The second equity investment is subject to finalization of certain reinsurance agreement terms, receipt of applicable regulatory approvals and other closing conditions and is expected to close in the first half of 2021.Brookfield will receive one seat on American Equity’s Board of Directors following the initial equity investment. -
A reinsurance transaction through which Brookfield’s reinsurance and annuity subsidiary, Brookfield Asset Management Partners, will reinsure up to
$10 billion in annuity liabilities, including an initial $5 billion of existing liabilities and up to an incremental$5 billion of future business when written. -
AEL will receive unique access to Brookfield’s attractive alternative asset strategies, which positions AEL to generate sustained returns in a low interest rate environment.
Sachin Shah, Brookfield’s Chief Investment Officer, said: “We are pleased to be investing in American Equity and to partner with the business in reinsurance as it grows its leading position as a retirement planning annuity provider. This transaction represents a meaningful investment for us in the attractive
Anant Bhalla, President and Chief Executive Officer of American Equity, said: “This compelling strategic transaction, which we have been discussing with
Brookfield Asset Management
Brookfield Asset Management is a leading global alternative asset manager with approximately US$550 billion of assets under management across real estate, infrastructure, renewable power, private equity and credit.
Brookfield Asset Management is listed on the
American Equity
American Equity Investment Life Holding Company, through its wholly-owned subsidiaries, is a leading issuer of fixed index annuities through independent agents, banks and broker-dealers. American Equity Investment Life Holding Company, a New York Stock Exchange listed company (NYSE: AEL), is headquartered in
For more information, please contact:
| Media Claire Holland Tel: +1 416 369-8236 Email: [email protected] |
Investor Relations Linda Northwood Tel: +1 416 359-8647 Email: [email protected] |
Forward-Looking Statements
This news release contains “forward-looking information” within the meaning of Canadian provincial securities laws and “forward-looking statements” within the meaning of Section 27A of the
Although
Factors that could cause actual results to differ materially from those contemplated or implied by forward-looking statements includethe ability to obtain regulatory approvals and meet other closing conditions;a delay in the closing of the investment; the general political, economic and market conditions; and other risks and factors as detailed from time to time in
We caution that the foregoing list of important factors that may affect future results is not exhaustive. When relying on our forward-looking statements to make investment decisions with respect to
This news release and its contents do not constitute and should not be construed as a recommendation to buy; an offer to buy or solicitation of an offer to buy; an offer to sell; advice in relation to, any securities of
Source: Brookfield Asset Management Inc
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