American Financial Group to Sell Baby Bonds

Insurer American Financial Group (AFG) will be selling a new issue of baby bonds.

Like all of the AFG baby bonds they have the right to defer interest payments for up to 5 years without a default.

The issue will be rated investment grade by Moodys and Standard and Poors.

The subordinated debentures will likely be listed under ticker AFGE, which is an old ticker that has been used before–the previous issue was called in 12/2019.

The company mentions a possible redemption of their 6% baby bonds (AFGH) which become callable on 11/15/2020.

You can see the various AFG issues now outstanding.

The preliminary prospectus can be read here.

mcg was right on this one.

4 thoughts on “American Financial Group to Sell Baby Bonds”

  1. Tim,
    One of the best things about your site is the info re new issues that many of the readers learn about and send to you. Same goes for new calls such as (sadly) the ones you mentioned today re Entergy.
    My hat is off to mcg for his alert today re AFG and MET. Haven’t found out anything
    yet re MET but have given statement of interest in AFGE. If successful, this will get me a position in AFGE. Yield talk on AFGE is 4.50 to 4.75 I think.
    Again thanks Tim and mcg.
    I am a buy and hold investor who knows nothing about the direction of interest rates (and never have). I’m not a day trader or pin ball wizard. So, for me, info such as that here today helps me reinvest capital quickly as well as manage call risk.

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