Allmerica Financial Corporation Commences Initial Public Offering

Strategic Insights -

Allmerica Financial Corporation, a Worcester, Mass.-based life insurance holding company, has successfully launched its initial public offering (IPO) with 11 million shares of common stock trading on the New York Stock Exchange under the symbol "AFC." The IPO price is set at $21.00 per share, with the company's stock beginning trading today. This move marks a significant milestone for the company as it transitions from being a mutual life insurance company to a stockholder-owned entity. According to John F. O'Brien, President and Chief Executive Officer of Allmerica Financial, the company is "pleased to successfully launch our initial public offering" and is committed to delivering excellent shareholder value.

Key Takeaways:

  • Allmerica Financial Corporation has commenced an initial public offering of 11 million shares of common stock at $21.00 per share.
  • The company's stock began trading on the New York Stock Exchange under the symbol "AFC" on October 11, 1995.
  • The IPO is concurrent with the conversion of State Mutual Life Assurance Company of America to a subsidiary of Allmerica Financial.
  • The offering is being underwritten by Merrill Lynch & Co., CS First Boston, Goldman, Sachs & Co., and Salomon Brothers Inc.
  • Allmerica Financial will be the principal holding company for a group of companies providing personal and commercial lines property and casualty insurance, as well as health insurance and life and retirement savings products and services.
  • The company's subsidiaries include First Allmerica Financial Life Insurance Company, Allmerica Financial Life Insurance and Annuity Company, and Allmerica Property & Casualty Companies, Inc.

Statistics:

  • 11 million shares of common stock were issued in the initial public offering.
  • The IPO price is $21.00 per share.
  • The stock began trading on the New York Stock Exchange under the symbol "AFC."
  • The underwriters of the IPO are Merrill Lynch & Co., CS First Boston, Goldman, Sachs & Co., and Salomon Brothers Inc.
  • Allmerica Financial Corporation will be the principal holding company for a group of companies.

Sources:

  • PRNewswire, WORCESTER, Mass., Oct. 11 /PRNewswire/
  • Allmerica Financial Corporation, WORCESTER, Mass., CO: Allmerica Financial Corporation ST: Massachusetts IN: FIN SU: OFR BM-SB -- NE012 -- 5120 10/11/95 12:30 EDT