Athora Holding Ltd., the European savings and retirement services group, has announced the successful completion of its first debt offering in the public capital markets.
The transaction is a €600 million senior unsecured fixed rate notes issuance due in 2028.
The notes are listed on the Global Markets Exchange of Euronext Dublin, and are expected to qualify as Tier 3 regulatory capital and receive a BBB+ rating from Fitch Ratings.
The firm explains that accessing public debt capital markets is an important step in its business plan. It provides it with longer-term financing and aligns its capital structure with its long-term savings and retirement services strategy.
The issuance further advances Athora’s financial flexibility, adding additional qualifying solvency capital and providing appropriate debt capital funding for the upcoming acquisition from AXA Germany.
The funding for the transaction in Germany, which remains subject to regulatory approvals, is expected to be consistent with Athora’s rating and leverage targets.
Anders Malmstrom, Athora Group Chief Financial Officer, commented, “The success of this new debt issuance underlines the strength of our business model and financial profile, alongside the continued support of credit investors for the wider Athora Group. The instrument is the first of its kind to be sold to European credit investors and represents an innovation in insurance funding.”
