Close Close
Sign In
Newsletters
Popular Financial Topics Discover relevant content from across the suite of ALM legal publications From the Industry More content from ThinkAdvisor and select sponsors Investment Advisor Issue Gallery Read digital editions of Investment Advisor Magazine Tax Facts Get clear, current, and reliable answers to pressing tax questions
Luminaries Awards
Podcast Center Video Center Webcasts Resource Center Events
About ThinkAdvisor Contact Us Advertise With Us Asset & Logo Licensing Sitemap Terms of Service Privacy Policy Copyright © 2024 ALM Global, LLC. All Rights Reserved.
ThinkAdvisor

Portfolio > Investment VIPs

Companies Announce Genworth Moves

By Staff Writer

X
Your article was successfully shared with the contacts you provided.

Genworth Financial Inc. and its parent, General Electric Company, plan to get cash from investors.[@@]

Genworth, Richmond, Va., says it wants to borrow $350 million from investors by issuing 10-year senior notes that will pay an annual interest rate of 4.95%.

Genworth hopes to use the proceeds from the offering to reduce the amount of money it borrows by issuing commercial paper.

Meanwhile, General Electric, Fairfield, Conn., is selling a large allotment of its Genworth shares to other investors.

General Electric once owned all of Genworth, then took Genworth public by selling a minority interest to the public in May 2004. In May 2005, General Electric said it wanted to further reduce its stake in Genworth.

Now Genworth says General Electric will be selling 81 million shares with a total value of about $2.7 billion.

General Electric intends to sell 60 million shares to members of the public and 21 million shares to a unit of Citigroup Inc., Genworth says.

Completing those transactions and smaller transactions to be used to pay the investment bankers for their help would cut General Electric’s stake in Genworth to 32% of Genworth’s common stock, Genworth says.

Genworth will not receive the proceeds of any of the offerings, Genworth says.

NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.