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Abacus Life (NASDAQ: ABL) has completed its oversubscribed public offering of 12.5 million shares of common stock at $8.00 per share. The offering consisted of 10 million shares sold by the company and 2.5 million shares sold by existing stockholders, generating total gross proceeds of approximately $100 million. The company received about $80 million from the primary offering, which it plans to use for operations, purchasing life settlement policies, supporting business strategy, working capital, potential acquisitions, and debt refinancing. The remaining $20 million from selling stockholders’ shares did not go to the company.
Abacus Life (NASDAQ: ABL) ha completato la sua offerta pubblica sovrasottoscritta di 12,5 milioni di azioni ordinarie a $8,00 per azione. L’offerta è consistita in 10 milioni di azioni vendute dalla società e 2,5 milioni di azioni vendute da azionisti esistenti, generando proventi lordi totali di circa $100 milioni. La società ha ricevuto circa $80 milioni dall’offerta primaria, che intende utilizzare per operazioni, acquisto di polizze di liquidazione delle vita, supporto alla strategia aziendale, capitale circolante, potenziali acquisizioni e rifinanziamento del debito. I restanti $20 milioni dalle azioni degli azionisti venditori non sono andati alla società.
Abacus Life (NASDAQ: ABL) ha completado su oferta pública sobredimensionada de 12,5 millones de acciones ordinarias a $8,00 por acción. La oferta consistió en 10 millones de acciones vendidas por la empresa y 2,5 millones de acciones vendidas por accionistas existentes, generando ingresos brutos totales de aproximadamente $100 millones. La empresa recibió alrededor de $80 millones de la oferta primaria, que planea utilizar para operaciones, compra de pólizas de liquidación de vida, apoyo a la estrategia comercial, capital de trabajo, posibles adquisiciones y refinanciamiento de deuda. Los restantes $20 millones de las acciones de los accionistas vendedores no fueron a la empresa.
Abacus Life (NASDAQ: ABL)은 1250만 주의 보통주를 주당 $8.00의 가격으로 초과 청약 완료했습니다. 이번 공모는 회사가 판매한 1000만 주와 기존 주주가 판매한 250만 주로 구성되어, 총 약 $100 백만의 총 수익을 창출했습니다. 회사는 기초 공모를 통해 약 $80 백만을 확보했으며, 이를 운영, 생명 보험 청구권 구매, 비즈니스 전략 지원, 운영 자본, 잠재적 인수 및 부채 재융자에 사용할 계획입니다. 남은 $20 백만은 주주 판매자의 주식에서 나온 것으로 회사에 직접적으로 가지 않았습니다.
Abacus Life (NASDAQ: ABL) a terminé son offre publique sursouscrite de 12,5 millions d’actions ordinaires au prix de $8,00 par action. L’offre était composée de 10 millions d’actions vendues par la société et de 2,5 millions d’actions vendues par des actionnaires existants, générant des recettes brutes totales d’environ $100 millions. La société a reçu environ $80 millions de l’offre primaire, qu’elle prévoit d’utiliser pour ses opérations, l’achat de polices de règlement de vie, le soutien à sa stratégie commerciale, le fonds de roulement, d’éventuelles acquisitions et le refinancement de dettes. Les $20 millions restants provenant des actions vendues par les actionnaires ne sont pas allés à la société.
Abacus Life (NASDAQ: ABL) hat sein überzeichnetes öffentliches Angebot von 12,5 Millionen Stammaktien zu einem Preis von $8,00 pro Aktie abgeschlossen. Das Angebot bestand aus 10 Millionen Aktien, die von dem Unternehmen verkauft wurden, und 2,5 Millionen Aktien, die von bestehenden Aktionären verkauft wurden, wodurch insgesamt brutto Einnahmen von etwa $100 Millionen generiert wurden. Das Unternehmen erhielt rund $80 Millionen aus dem Primärangebot, das es für Betriebskosten, den Kauf von Lebensversicherungsansprüchen, die Unterstützung der Geschäftsstrategie, Betriebskapital, potenzielle Akquisitionen und die Refinanzierung von Schulden verwenden plant. Die verbliebenen $20 Millionen aus dem Verkauf von Aktionärsaktien gingen nicht an das Unternehmen.
Positive
- Successful completion of oversubscribed public offering
- Raised $80 million in new capital for company operations
- Funds allocated for strategic growth initiatives and debt refinancing
Negative
- Potential dilution of existing shareholders due to 12.5 million new shares
- 20% of offering proceeds ($20 million) went to selling stockholders instead of company
Insights
This oversubscribed public offering of 12.5M shares at $8.00 per share represents a significant capital raise of $100 million, with $80 million going directly to Abacus Life. The successful completion indicates strong market confidence in the company’s business model in the longevity and actuarial technology space.
The capital injection strengthens Abacus’s balance sheet and provides substantial funding for life settlement policy acquisitions, a core revenue driver. The involvement of major underwriters like Piper Sandler, TD Securities and KKR adds credibility to the offering. The oversubscribed nature suggests robust institutional interest, though the $8.00 pricing point relative to recent trading levels warrants attention for dilution impact.
The strategic allocation of proceeds towards policy purchases and potential acquisitions signals an aggressive growth strategy, while the debt refinancing component could improve the company’s financial flexibility and reduce interest expenses.
ORLANDO, Fla., Nov. 25, 2024 (GLOBE NEWSWIRE) — Abacus Life, Inc. (“Abacus” or the “Company”) (NASDAQ: ABL), a pioneering alternative asset manager specializing in longevity and actuarial technology, today announced the closing of its oversubscribed underwritten public offering of 12,500,000 shares of its common stock, consisting of 10,000,000 shares of its common stock sold by the Company and 2,500,000 shares of common stock sold by certain stockholders of the Company (the “Selling Stockholders”) at the public offering price of $8.00 per share. The gross proceeds raised in the offering, before underwriting discounts and commissions and estimated expenses of the offering, were approximately $100 million, of which approximately $80 million was raised in the primary offering by the Company and approximately $20 million was paid in connection with the sale of shares by the Selling Stockholders.
Abacus intends to use net proceeds that it receives for its operations, including the purchase of life settlement policies, to support its overall business strategy, for working capital purposes, and for general corporate purposes, which may include funding previously announced and future acquisitions and repayment and refinancing of its indebtedness. Abacus did not receive any proceeds from the sale of shares of common stock by the Selling Stockholders.
Piper Sandler & Co., TD Securities (USA) LLC, KKR Capital Markets LLC, B. Riley Securities, Inc. and SG Americas Securities, LLC acted as joint book-running managers and representatives of the underwriters for the offering.
The registration statements on Form S-3 relating to this offering were declared effective by the Securities and Exchange Commission (“SEC”) on November 14, 2024. Final prospectus supplements and accompanying prospectuses relating to and describing the terms of the offering were filed with the SEC on November 25, 2024 and may be obtained from: Piper Sandler & Co. by mail at 1251 Avenue of the Americas, 6th Floor, New York, NY 10020 or by email at prospectus@psc.com; TD Securities (USA) LLC by mail at 1 Vanderbilt Avenue, New York, NY 10017, by telephone at (855) 495-9846 or by email at TD.ECM_Prospectus@tdsecurities.com; KKR Capital Markets LLC by mail at 30 Hudson Yards, 75th Floor, New York, NY 10001, Attention: Prospectus Delivery; B. Riley Securities, Inc. by mail at 1300 17th Street North, Suite 1300, Arlington, VA 22209, by telephone at (703) 312-9580 or by email at prospectuses@brileyfin.com; SG Americas Securities, LLC by mail at 245 Park Avenue, New York, NY 10167 or by email at us-ny-prospectus@sgcib.com; or by accessing the SEC’s website at www.sec.gov.
This press release shall not constitute an offer to sell or the solicitation of an offer to buy the shares of the Company’s common stock or any other securities, nor shall there be any sale of such shares of common stock or any other securities in any state or other jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or other jurisdiction.
About Abacus
Abacus is a pioneering global alternative asset manager and market maker specializing in uncorrelated financial products. The Company leverages its longevity data and actuarial technology to purchase life insurance policies from consumers seeking liquidity. This creates a high-return asset class uncorrelated to market fluctuations for institutional investors.
With nearly $3 billion in assets under management, including pending acquisitions, Abacus is the only publicly traded global alternative asset manager focused on lifespan-based financial products.
Forward-Looking Statements
All statements in this press release (and oral statements made regarding the subjects of this press release) other than historical facts are forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended. These forward-looking statements rely on a number of assumptions concerning future events and are subject to a number of uncertainties and factors that could cause actual results to differ materially from such statements, many of which are outside the control of Abacus. Forward-looking information includes but is not limited to statements regarding the proposed offering, including the expected closing of the proposed offering; Abacus’s financial and operational outlook; Abacus’s operational and financial strategies, including planned growth initiatives and the benefits thereof, Abacus’s ability to successfully effect those strategies, and the expected results therefrom. These forward-looking statements generally are identified by the words “believe,” “project,” “estimate,” “expect,” ”intend,” “anticipate,” “goals,” “prospects,” “will,” “would,” “will continue,” “will likely result,” and similar expressions (including the negative versions of such words or expressions).
While Abacus believes that the assumptions concerning future events are reasonable, it cautions that there are inherent difficulties in predicting certain important factors that could impact the future performance or results of its business. The factors that could cause results to differ materially from those indicated by such forward-looking statements include, but are not limited to: the fact that Abacus’s loss reserves are bases on estimates and may be inadequate to cover its actual losses; the failure to properly price Abacus’s insurance policies; the geographic concentration of Abacus’s business; the cyclical nature of Abacus’s industry; the impact of regulation on Abacus’s business; the effects of competition on Abacus’s business; the failure of Abacus’s relationships with independent agencies; the failure to meet Abacus’s investment objectives; the inability to raise capital on favorable terms or at all; the effects of acts of terrorism; and the effectiveness of Abacus’s control environment, including the identification of control deficiencies.
These forward-looking statements are also affected by the risk factors, forward-looking statements and challenges and uncertainties set forth in documents filed by Abacus with the SEC from time to time, including the Annual Report on Form 10-K, as amended, and Quarterly Reports on Form 10-Q and subsequent periodic reports. These filings identify and address other important risks and uncertainties that could cause actual events and results to differ materially from those contained in the forward-looking statements. Abacus cautions you not to place undue reliance on the forward-looking statements contained in this press release. Forward-looking statements speak only as of the date they are made. Readers are cautioned not to put undue reliance on forward-looking statements, and Abacus assumes no obligation and, except as required by law, does not intend to update or revise these forward-looking statements, whether as a result of new information, future events, or otherwise. Abacus does not give any assurance that it will achieve its expectations.
Contacts:
Robert Phillips – SVP Investor Relations
rob@abacuslife.com
(321) 290-1198
David Jackson – IR/Capital Markets Associate
djackson@abacuslife.com
(321) 299-0716
Abacus Life Public Relations
press@abacuslife.com
FAQ
How much did Abacus Life (ABL) raise in its November 2024 public offering?
Abacus Life raised approximately $80 million in gross proceeds from the primary offering, with total offering proceeds of $100 million including $20 million from selling stockholders.
What was the share price for Abacus Life’s (ABL) 2024 public offering?
The public offering price was $8.00 per share.
How will Abacus Life (ABL) use the proceeds from its 2024 stock offering?
Abacus Life plans to use the proceeds for operations, purchasing life settlement policies, business strategy support, working capital, potential acquisitions, and debt refinancing.
How many shares were sold in Abacus Life’s (ABL) November 2024 offering?
A total of 12.5 million shares were sold, with 10 million shares from the company and 2.5 million shares from existing stockholders.
