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DES MOINES - F&G Annuities & Life, Inc. (NYSE:FG) announced Wednesday it has launched a strategic partnership with a new reinsurance vehicle backed by Blackstone managed funds, with approximately $1 billion in anticipated capital commitments.
The reinsurer will provide long-term capital to F&G through a forward flow reinsurance agreement on a quota share basis for certain fixed indexed annuity products, effective August 1, 2025.
According to the company, the structure will allow F&G to efficiently manage its liabilities, reinsure a portion of its fixed indexed annuity sales, and enhance its capital-light model, which remains central to its strategy.
"This opportunity recognizes Blackstone as a trusted partner and enables us to fund a portion of our growth with participation from private, long-term capital providers," said Chris Blunt, Chief Executive Officer of F&G.
The company stated the partnership will move F&G toward a more fee-based, higher margin and less capital intensive business model, with expectations to expand its return on equity over time.
Jefferies served as F&G’s financial advisor for the transaction, with Sidley Austin LLP providing legal counsel.
F&G Annuities and Life, headquartered in Des Moines, Iowa, provides insurance solutions to retail annuity and life customers and institutional clients.
The information in this article is based on a company press release statement.
In other recent news, F&G Annuities & Life Inc. reported its first-quarter 2025 financial results, revealing an earnings per share of $0.72, which fell short of analysts’ expectations of $1.30. Despite missing earnings projections, the company reported a substantial revenue increase to $2.18 billion, surpassing the forecasted $1.37 billion. This development highlights a significant revenue achievement for the company despite the earnings shortfall. In a separate update, Fidelity National Financial, Inc. announced the appointment of Gregg N. Sofer as Executive Vice President, Deputy Chief Legal Officer, and Chief Compliance Officer. Sofer, who has over 30 years of legal experience, succeeds Paul Perez, who is retiring after serving since 2007. Sofer’s previous role was as the U.S. Attorney for the Western District of Texas in 2020. These recent developments provide insights into the current activities of both companies.
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