American Equity Says Deal Talks Have Ended
The company first disclosed the proposed deal in May 2018, without naming the suitor.
American Equity Investment Life Holding Company today announced that it’s no longer in discussions regarding a potential acquisition of the company.
The West Des Moines, Iowa-based company reported in May 2018 that it was in discussions with a suitor it would not name.
(Related: How 7 Annuity Issuers Are Really Doing Now)
American Equity did not identify the suitor in the announcement issued today.
American Equity said today that its board worked with financial and legal advisors to assess”the indications of interest it received from certain interested parties that had initiated contact with American Equity.”
The American Equity board “engaged in discussions with interested parties, but ultimately determined that further engagement would not result in a transaction that was in the best interest of shareholders,” the company said.
American Equity has been a significant player in the U.S. indexed annuity market.
John Matovina, the company’s chief executive officer, said in a statement that the company believes it has significant opportunities for growth as a stand-alone company, because of factors such as the aging of the American population.
“American Equity’s board and management team are committed to creating value for shareholders and will continue to take actions that position the company to achieve this objective,” Matovina said.
American Equity said that it does not intend to make further public comments about the proposed deal announced May 2018, and that it may not necessarily make public announcements about other deal proposals it will consider in the future.
— Read American Equity Life Founder Dies, on ThinkAdvisor.
— Connect with ThinkAdvisor Life/Health on LinkedIn and Twitter.