Press Release - OCTOBER 17, 2019
AM Best Comments on Credit Ratings of Sagicor Financial Corp Ltd and Sagicor Life Following Announced Acquisition Agreement
FOR IMMEDIATE RELEASE
OLDWICK - OCTOBER 17, 2019
While the impact to Sagicor’s balance sheet is material given the size of the acquired blocks, AM Best notes that the company’s risk-adjusted capitalization will remain supportive of its current ratings. AM Best expects that the transaction will add a moderate amount of income to operating earnings. Financial leverage and interest coverage should remain within AM Best’s expectations for the current rating levels. The transaction is expected to close in 2020, pending regulatory approval and other customary closing conditions.
Sagicor Life Inc. has a Financial Strength Rating of A- (Excellent) and a Long-Term Issuer Credit Rating (Long-Term ICR) of “a-”. Its ultimate parent, Sagicor Financial Corporation Limited has a Long Term ICR of “bbb-”. The outlook of these ratings remains stable.
This press release relates to Credit Ratings that have been published on AM Best’s website. For all rating information relating to the release and pertinent disclosures, including details of the office responsible for issuing each of the individual ratings referenced in this release, please see AM Best’s Recent Rating Activity web page. For additional information regarding the use and limitations of Credit Rating opinions, please view Understanding Best’s Credit Ratings. For information on the proper media use of Best’s Credit Ratings and AM Best press releases, please view Guide for Media - Proper Use of Best’s Credit Ratings and AM Best Rating Action Press Releases.
AM Best is a global credit rating agency and information provider with an exclusive focus on the insurance industry.