ACE INA Holdings Inc., a subsidiary of ACE Limited, announced plans to sell $450 million of senior notes guaranteed by ACE Limited.
The company said that net proceeds from the sale will be used to redeem preferred shares.
Fitch Ratings announced that it expects to assign an "A" rating to the offering. The rating firm said it "expects that the net proceeds from this new senior debt issuance will help redeem the company's existing $575 million of perpetual preferred shares in June 2008."
Fitch added it "believes that, following the completion of ACE's financing plans, ACE's pro forma March 31, 2008 total debt to capital ratio increase of roughly two points, to approximately 19 percent, is still well within an acceptable level for ACE's current rating category."
ACE said the joint book-running managers for the proposed offering are Citigroup Global Markets Inc., J.P. Morgan Securities Inc. and Wachovia Capital Markets, LLC.
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