Abacus Life tumbles on stock offering pricing

Abacus Global Management

21/06/2024 12:39

** Abacus Life Inc's  ABL.O  shares down 21.7% premarket at
$7.64, lowest since mid-Dec, after alternative asset manager's
follow-on priced
    ** Co, which buys life insurance policies from consumers who
need liquidity, late Thurs announced 10 mln shares at $8 for $80
mln gross raise
    ** Offering price represents 18% discount to stock's last
sale
    ** Abacus to use net offering proceeds to purchase life
settlement policies, for working capital and general purposes,
which may include debt repayment
    ** Piper Sandler, TD Secs, B. Riley and KKR Capital Markets
are jt bookrunners
    ** In Apr, Abacus hired Elena Plesco, KKR's  KKR.N  former
co-head of specialty finance, as chief capital officer
    ** Abacus has ~63.98 mln shares outstanding for $624 mln
market value through Thurs
    ** ABL shares closed at $9.50 in their Jul 5, 2023 debut
after co completed SPAC merger with East Resources Acquisition

 (Lance Tupper is a Reuters market analyst. The views expressed
are his own)
 ((lance.tupper@thomsonreuters.com
lance.tupper@tr.com 1-646-279-6380))