Tuesday, June 18, 2019

Life and Annuity Distributor Arranges $395 Million in Financing


AmeriLife says it expects to use some of the money to fund 'growth and acquisition strategies.'
By Allison Bell | June 17, 2019 at 06:09 PM
If you’re selling a company that markets or distributes life insurance, health insurance or annuities, AmeriLife Group LLC might have the cash to buy it.
The Clearwater, Florida-based life, health and annuity distributor announced today that it has replaced its old credit facilities with new facilities that can provide up to $395 million in financing.
“Together with cash resources on hand, the new credit facilities provide AmeriLife with over $100 million of capital to fund the company’s growth and acquisition strategies,” the company says.
AmeriLife
AmeriLife was founded in 1971. It now generates about $3 billion in annual annuity premium revenue.
The company has relationships with about 20 insurance marketing organizations, 75 carriers, and 140,000 agents and brokers.
In February, the company announced that it had acquired Dallas Financial Wholesalers. AmeriLife did not say how much it was paying for DFW, but it reported that Ron Rawlings, the founder, would be keeping a minority interest in the firm.
Scott Perry, AmeriLife’s chief executive officer, said in a statement that AmeriLife will continue to focus on serving the pre-retiree and retiree markets.
The Financing
J.C. Flowers & Co. has been AmeriLife’s majority equity owner since 2015, the company says.
The list of companies providing the new credit facilities includes Credit Suisse, which led the offering; and SunTrust and Deutsche Bank, which served as joint lead arrangers, according to AmeriLife.
The new facilities include a $250 million first lien term loan, a $70 million second lien term loan, a $35 million delayed draw first lien term loan and a $40 million revolving credit facility.

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