Equitable Holdings Inc Stock Price, News & Analysis

Equitable Holdings (NYSE: EQH) has extended its cash tender offer to purchase up to 46,000,000 units of AllianceBernstein Holding (NYSE: AB) at $38.50 per unit, representing a total potential purchase of approximately $1.8 billion. The offer's expiration time has been extended from March 24, 2025, to April 1, 2025.

Based on preliminary counts, 19,028,061 units have been properly tendered, including 1,394,553 units tendered by notice of guaranteed delivery. Equitable does not plan to further extend the expiration time or modify other terms. Current unitholders who have already tendered their units do not need to take additional action.

Equitable Holdings (NYSE: EQH) has announced a tender offer for all 444,333 outstanding Series B Depositary Shares, each representing a 1/25th interest in its 4.950% Fixed Rate Reset Noncumulative Perpetual Preferred Stock, Series B.

The company is offering to pay $1,000 per Series B Depositary Share, plus accrued, unpaid, and undeclared dividends from December 15, 2024, to the settlement date, expected to be April 11, 2025. The tender offer will expire on April 9, 2025, at 5:00 p.m. New York City time.

EQH plans to finance the tender offer through proceeds from a junior subordinated debt securities offering and cash on hand if necessary. The company, which manages $1 trillion in assets and serves over 5 million clients globally, may prioritize junior subordinated debt securities allocation to holders who tender their Series B Depositary Shares.

Equitable's latest quarterly survey reveals that 80% of Americans are concerned about affordability of everyday living costs, regardless of income level. Nearly half of the 1,000 respondents plan to modify their financial habits in 2025, with many focusing on increasing monthly savings.

The survey highlights that 40% of respondents aim to increase savings by $500 or more monthly, with this figure rising to 70% among mass affluent individuals (income ≥$90,000/year). Additional financial goals include increasing household income and reducing spending.

Inflation remains the primary obstacle to achieving financial goals, cited more than twice as frequently as other challenges. 60% of respondents view the economy as highly volatile. The survey also found that while 90% of respondents value lifetime income features, less than half are confident in their understanding of annuities.

Equitable Holdings (NYSE: EQH) has launched a cash tender offer to purchase up to 46,000,000 units of AllianceBernstein Holding (NYSE: AB) at $38.50 per unit, representing a total value of approximately $1.8 billion. The offer price represents a 7.8% premium over AB Holding's closing price on February 21, 2025.

The tender offer targets approximately 41.7% of AB Holding's outstanding units. Currently, Equitable owns about 61.9% interest in AllianceBernstein L.P. through various holdings. If the maximum units are purchased, Equitable's economic interest would increase to approximately 77.5%.

The offer expires on March 24, 2025, at 5:00 p.m. NYC time, unless extended. The offer is not conditional on financing or minimum tender requirements but is subject to customary terms and conditions.

Equitable Holdings (NYSE: EQH) has announced a strategic reinsurance agreement with RGA Reinsurance Company to reinsure 75% of its in-force individual life insurance block. The transaction will generate over $2 billion in value through a positive ceding commission and capital release.

The company plans to redeploy the capital in two main ways: a $1.8 billion tender offer to increase its ownership stake in AllianceBernstein (AB) and $500 million in incremental share repurchases above their 60-70% payout ratio target. AB will continue managing approximately 70% of the general account assets being reinsured.

The transaction, expected to close in mid-2025, will enhance EQH's focus on Retirement, Asset Management, and Wealth Management. While the company expects a GAAP net loss and reduction in book value at close, the transaction is projected to have impact on Non-GAAP operating earnings and cash generation, and be accretive to Non-GAAP operating earnings per share.

Reinsurance Group of America (RGA) has announced a significant reinsurance agreement with Equitable Holdings to reinsure a diversified block of life insurance products. RGA will reinsure 75% of Equitable's in-force life insurance liabilities, comprising $18 billion in general account reserves and $14 billion in separate account reserves, totaling $32 billion.

The transaction requires $1.5 billion of capital deployment at closing and is expected to generate approximately $70 million in adjusted operating income before taxes in 2025, increasing to $160-$170 million in 2026, and reaching approximately $200 million annually over time. RGA plans to finance the transaction using excess capital and potential debt financing.

The deal is anticipated to close in mid-2025, subject to regulatory approvals. Equitable will continue handling policyholder administration and support. The partnership expands across underwriting, product development, distribution, and investment management.

Equitable (NYSE: EQH) announces that President Nick Lane will receive the 2025 Commandant's Leadership Award from the Marine Corps-Law Enforcement Foundation (MC-LEF) at its 28th Annual Semper Fidelis Gala on April 3, 2025, in New York City.

MC-LEF, established in 1995, has awarded $93 million in scholarships to over 5,000 children of fallen U.S. Marines, Navy Corpsmen, and Federal Law Enforcement Agents. The organization currently provides $40,000 scholarship accounts per eligible child.

Lane, who leads Equitable's Retirement, Wealth Management and Protection Solutions businesses, is a former Marine Corps infantry platoon commander. He serves on the Board of Directors for AllianceBernstein and the American Council of Life Insurers. The event will also honor former Secretary of the Navy Gordon England with the 2025 Globe & Anchor Award.

Equitable Holdings (NYSE: EQH) has announced its latest dividend declarations. The company's Board of Directors has declared a quarterly cash dividend of $0.24 per share of common stock, payable March 12, 2025, to shareholders of record as of March 5, 2025.

Additionally, the company declared dividends on its preferred stock series:

• Series A 5.25% Non-Cumulative Perpetual Preferred Stock: $328.125 per share ($0.328125 per depositary share), payable March 17, 2025
• Series C 4.30% Non-Cumulative Perpetual Preferred Stock: $268.750 per share ($0.26875 per depositary share), payable March 17, 2025

Equitable Holdings (NYSE: EQH) reported strong financial results for 2024, with full-year net income of $1.3 billion ($3.78 per share) and Q4 net income of $899 million ($2.76 per share). The company achieved record net inflows across segments: $7.1 billion in Retirement, $4.0 billion in Wealth Management, and $4.3 billion in active Asset Management.

Non-GAAP operating earnings reached $2.0 billion ($5.93 per share) for the full year and $522 million ($1.57 per share) for Q4 2024. Total Assets Under Management/Administration increased 10% year-over-year to $1.0 trillion. The company generated $1.5 billion in cash during 2024 and returned $1.3 billion to shareholders, maintaining a 66% payout ratio within their 60-70% target range.

Looking ahead to 2025, Equitable Holdings projects cash generation to increase to $1.6-1.7 billion and expects Non-GAAP operating EPS growth to align with their 12-15% target.