|Over a week ago|
Athene Holding price target raised to $66 from $60 at BMO Capital » 08:1506/2206/22/20
BMO Capital analyst James…
BMO Capital analyst James Fotheringham raised the firm's price target on Athene Holding to $66 from $60 and keeps an Outperform rating on the shares after the company's $27B reinsurance transaction and $500M equity investment in Jackson National. The transaction marks its "first significant utilization of ACRA", the analyst tells investors in a research note, giving Athene "greater flexibility" to deal in scale. Fotheringham further notes that Athene stock offers a "meaningful valuation discount" of 4.1-times in two-year-forward price-to-earnings.
Apollo Global expanding insurance asset management business » 06:4906/1806/18/20
APO, ATH, PRU
Apollo Global (APO) is…
Apollo Global (APO) is expanding its insurance asset management business, as Athene Holding (ATH) has entered into a fixed annuity block reinsurance transaction with Jackson National Life Insurance, a subsidiary of Prudential (PRU), with the support of Athene Co-Invest Reinsurance Affiliate. Athene will reinsure a $27B in-force block of fixed deferred and fixed indexed annuities. Athene will also make a $500M equity investment in Jackson, representing an 11% stake in the company. Apollo's insurance platform is anchored by permanent capital vehicle assets from Athene and other insurance platforms. Through Q1 and pro forma for Athene's transaction with Jackson, additional transactions and internal growth, Apollo has added nearly $80B in insurance-related assets under management. Apollo expects this transaction will be immediately accretive; however, the full financial effect is expected to be achieved on a run rate basis in the second half of 2021.
Athene announces fixed annuity reinsurance transaction with Jackson National » 05:4006/1806/18/20
Athene Holding (ATH) has…
Athene Holding (ATH) has announced a fixed annuity block reinsurance transaction with Jackson National Life and subsidiary of Prudential (PUK), with the support of Athene Co-Invest Reinsurance Affiliate, or ACRA. Athene said in a release, "Under the terms of the agreement, Athene will reinsure a $27B in-force block of fixed deferred and fixed indexed annuities. As part of the transaction, Athene is making a $500M equity investment in Jackson, representing an 11% stake in the company, which will help Jackson to pursue various growth initiatives aligned with its commercial diversification strategy. The transaction is expected to be accretive to Athene's adjusted operating income in 2021 and 2022, with potential upside as portfolio redeployment occurs. Athene expects to deploy approximately $1.2 billion of total capital in connection with the transaction to be contributed over the next 12-18 months, including a further investment of capital in connection with portfolio redeployment, as well as the equity investment in Jackson. Utilizing the strategic benefits of ACRA, 63% of the total capital deployment will be funded by third-party investors, and 37% will be funded by Athene on a standalone basis. Pro forma for the transaction, as well as the company's recent Series C preferred stock offering, Athene continues to have significant financial flexibility and a strong capital position, with excess equity capital of $3 billion and total deployable capital of $7.1 billion. Jackson will continue to service and administer the in-force policies within the block. The reinsurance agreement has an effective date of June 1, 2020. The equity investment in Jackson is expected to close in July 2020, subject to customary closing conditions and approvals. Credit Suisse is serving as financial advisor and Sidley Austin LLP is serving as legal counsel to Athene in connection with this transaction."
|Over a month ago|
Tiger Global takes $110M stake in Peloton during Q1, exits Slack » 13:2805/1505/15/20
ATH, PTON, DNK, WORK, VXX, WDAY, RNG, BABA, DDOG, PLAN, EDU, APO, TDG, UBER, FLT, SPOT, GOOGL, JD, MSFT, FB, AMZN
Chase Coleman's Tiger Global disclosed in an SEC filing its holdings as of March 31, 2020. The fund made three new buys during the first quarter: 7.46M shares of Athene Holding (ATH), 4.15M shares of Peloton Interactive (PTON) and 1.85M shares of Phoenix Tree Holdings (DNK). Tiger exited two positions during the quarter, Slack Technologies (WORK) and iPath S&P 500 VIX Short-Term Futures (VXX). The fund increased its stake in 11 holdings, including Workday (WDAY), RingCentral (RNG), Alibaba (BABA), Datadog (DDOG), Anaplan (PLAN) and New Oriental Education (EDU). Tiger reduced its stake in 14 holdings, including Apollo Global (APO), TransDigm (TDG), Uber Technologies (UBER), FleetCor Technologies (FLT), Spotify (SPOT) and Alphabet (GOOG). The fund's top holdings as of March 31, in order of size, were JD.com Class A (JD), Microsoft (MSFT), Facebook (FB) Apollo Global and Amazon.com (AMZN).
Tiger Global initiated $185.3M position in Athene during Q1 13:1805/1505/15/20
Athene Holding appoints Doug Niemann as Chief Risk Officer » 08:4005/1205/12/20
Athene Holding announced…
Athene Holding announced that Doug Niemann, formerly Senior Managing Director of Investment Management and Chief Investment Risk Officer for Guardian Life Insurance, has been appointed Executive Vice President and Chief Risk Officer at Athene, effective May 18. Mr. Niemann joins the company as John Rhodes has decided to step down from his role as EVP and Chief Risk Officer due to health reasons.
Athene Holding price target lowered to $45 from $61 at SunTrust » 07:2005/1205/12/20
SunTrust analyst Mark…
SunTrust analyst Mark Hughes lowered the firm's price target on Athene Holding to $45 from $61 but keeps a Buy rating on the shares. The analyst remains positive on the company's substantial earnings power, with "meaningful excess capital" to cushion against any future volatility or take advantage of dislocation in credit markets, but also reduces his FY20 and FY21 EPS views to $4.85 from $7.55 and to $7.20 from $8.50 due to near-term pressure on yields in the alternatives portfolio, marginally slower asset growth, and higher shares outstanding.
Athene Holding reports Q1 adjusted EPS (60c), consensus 6c » 07:0505/0805/08/20
Adjusted book value per…
Adjusted book value per common share of $51.07, an increase of 8% year-over-year. CEO Jim Belardi said, "In these unprecedented times, Athene's core earnings power remains intact and continues to grow and generate attractive levels of profitability. Our actions over the past year have allowed us to operate from a position of strength. While the COVID-19 pandemic caused mark-to-market volatility in Athene's financials during the quarter, we believe these impacts will be transitory and have little impact on Athene's long-term earnings trajectory. I'm incredibly proud of our team for continuing to execute our differentiated strategy as we continue to serve policyholders at a high standard and underwrite strong levels of new business."
Athene Holding price target lowered to $46 from $59 at Credit Suisse » 07:2704/2704/27/20
Credit Suisse analyst…
Credit Suisse analyst Andrew Kligerman lowered the firm's price target on Athene Holding to $46 from $59 and keeps an Outperform rating on the shares. The analyst cited pressure on alternatives income and lower sales.
Athene Holding confirms consent order, settlement with NYSDFS » 11:1104/1304/13/20
Athene Holding disclosed…
Athene Holding disclosed in a regulatory filing that the company and Athene Annuity and Life Company, a wholly-owned subsidiary of the company, entered into a consent order with the New York State Department of Financial Services, or the NYSDFS. The consent order resolves the NYSDFS's previously disclosed inquiry into AAIA's pension risk transfer operations in New York. Pursuant to the consent order, the company and AAIA are required to pay a fine of $45M. As of December 31, 2019, the company had established an accrued liability in the amount of the fine, which was reflected in the company's consolidated balance sheet as of such date. For management reporting purposes, the amount is considered non-operating, the company said.