Prosperity Withdraws Proposal to Acquire American Equity

Rhea-AI Summary

Prosperity Group Holdings LP has announced its withdrawal of the proposal to acquire the common shares of American Equity Investment Life Holding Company (NYSE: AEL) at $45.00 per share. The decision comes after American Equity's refusal to engage in discussions, leading Prosperity to opt against pursuing the transaction further. Prosperity Group, involved in financial security and asset management, has been expanding its platform since its acquisition by Elliott Investment Management LP in 2019.

Positive

• Prosperity Group has a stable platform built since the acquisition in 2019.
• The company focuses on financial security and asset management, indicating a strong market position.

Negative

• Prosperity's acquisition proposal withdrawal may signal missed growth opportunities.
• American Equity's refusal to engage could lead to challenges in future negotiations.

NEW YORK--(BUSINESS WIRE)-- Today, Prosperity Group Holdings LP (“Prosperity”) issued the following statement, regarding its proposal to acquire the common shares of American Equity Investment Life Holding Company (“American Equity”) (NYSE: AEL):

“Prosperity is withdrawing its proposal to acquire American Equity for $45.00 per share. Given American Equity’s refusal to engage and our desire to proceed only on a constructive basis, Prosperity has no interest in continuing to pursue our proposed transaction at this time.”

ABOUT PROSPERITY

The Prosperity Group provides financial security to middle-market consumers through protection, asset accumulation, and supplemental products alongside innovative capital, risk management and asset management solutions for insurance and reinsurance clients. The current platform, which consists of insurance, reinsurance and asset management businesses, has been successfully built since the acquisition by funds affiliated with Elliott Investment Management LP in 2019. For more information, please visit www.prosperitylife.com.

View source version on businesswire.com: https://www.businesswire.com/news/home/20230221005568/en/

Media:

Steve Murray, Rubenstein

212-843-8293

Smurray@rubenstein.com

Source: Prosperity Group Holdings LP

FAQ

Why did Prosperity Group withdraw its acquisition proposal for American Equity (NYSE: AEL)?

Prosperity Group withdrew the proposal due to American Equity's refusal to engage in discussions.

What was the proposed acquisition price for American Equity's shares?

The proposed acquisition price was $45.00 per share.

What are the implications of Prosperity's withdrawal for shareholders of AEL?

The withdrawal may indicate a missed opportunity for growth and could affect investor confidence.

What does Prosperity Group specialize in?

Prosperity Group specializes in financial security products, asset accumulation, and risk management solutions.