Affiliated Managers Group (NYSE:AMG) will be selling a new Jr Subordinated note with a maturity date out in 2059.
AMG previously had a number of baby bonds outstanding, but all have been called in recent years. This new issue will be their only baby bond outstanding.
Affiliated is a fairly large asset manager with over $700 billion in assets under management.
The issue doesn’t have a current rating available, but we believe based on ratings from the past it will rate BBB+ by S&P and Baa1 by Moodys.
The issue DOES have a deferment clause in the prospectus. The company can defer interest payments for up to 20 consecutive quarters (5 years) 1 or more times.