Credit ratings agency Moody’s Ratings has upgraded Amynta Agency Borrower, Inc.’s (Amynta) corporate family rating to B2 from B3, its senior secured revolving credit facility and senior secured term loan rating to B1 from B2, as well as its senior unsecured notes rating to Caa1 from Caa2, and its probability of default rating to B2-PD from B3-PD based on the company’s improving credit metrics.
Moody’s explained that the outlook for these ratings is stable. The upgrade reflects Amynta’s steady operating performance and stronger leverage and interest coverage metrics, explained Moody’s.
The credit ratings agency said, “We expect the company will maintain debt-to-EBITDA at or below current levels. Amynta has been expanding its managing general agent business and maintains a good market presence in US and Canadian warranty products, particularly vehicle service contracts.”
The company provides a wide range of coverages and services to the insurance and warranty markets. Additionally, Amynta has reported increased organic revenue and, through acquisitions over the past several years, while steadily improving EBITDA margins. It continues to focus on controlling costs, streamlining systems, and enhancing data and analytics capabilities.
Recently, the firm strategically combined its underwriting unit, Scion Underwriting Services, into Ambridge Group to expand its wholesale specialty casualty business and Oryx Insurance Brokerage and Total Program Management, to create a to create a fully integrated healthcare practice.
In 2025, Amynta acquired International Sureties, Nonprofit Services Insurance Agency, Inc. (NPS). The same year, the firm’s organic revenue growth was 9%, down from double digits in the prior year. Moody’s said, “We expect the company’s organic growth to continue to moderate in the year ahead. These strengths are offset by Amynta’s significant debt burden and interest expense.”
Amynta’s other credit challenges include the significant but declining concentration of its insurance placements with AmTrust Financial Services, Inc. and potential liabilities from errors and omissions, a risk inherent in professional services.
Additionally, the firm’s warranty business continues to face a challenging operating environment, partially offset, however, by stronger growth prospects in the group’s MGA segment, which represents approximately 84% of the group’s net revenues.
Moody’s concluded, “We expect that Amynta will maintain a pro forma debt-to-EBITDA ratio of 6.0x – 6.5x, (EBITDA – capex) interest coverage of 2.0x-2.5x, and a free-cash-flow-to-debt ratio in the mid-single digits (per our calculations).
“These pro forma metrics reflect our accounting adjustments for operating leases, contingent earnout obligations, run-rate EBITDA from acquisitions, and certain non-recurring and unusual items.”
