Abacus Life, a life settlement agency, stated Monday that it’s on monitor to have a list on the Nasdaq inventory trade by the primary week of July.

The Orlando, Florida-based firm representatives additionally stated that it has organized for as much as $50 million in financing from Blue Owl Capital’s Owl Rock direct lending program.

Abacus Life buys life insurance coverage insurance policies from the insureds or different firms that put money into in-force life insurance coverage insurance policies after which holds the insurance policies or sells the insurance policies to different funding companies.

What It Means

Abacus Life might quickly have the ability to use quarterly communications with shareholders to advertise the concept that individuals with sure forms of life insurance coverage insurance policies can promote the insurance policies.

The Historical past

Abacus Life has been working within the life settlement market since 2004. It began a life settlement asset administration affiliate, Longevity Market Belongings, in 2017.

Life settlement companies sometimes concentrate on investing in life insurance coverage insurance policies that construct up money worth, similar to common life insurance policies and entire life insurance policies.

In addition they put money into time period life insurance policies that give the insureds the power to switch the time period protection with everlasting life insurance policies which are designed to construct up money worth.

In August 2022, Abacus Life introduced plans to get a Nasdaq itemizing by way of a merger with East Assets Acquisition Co., a Boca Raton, Florida-based particular objective acquisition firm, or SPAC.

Initially, Abacus Life hoped to finish the SPAC transaction by Dec. 31, 2022.

In October 2022, the businesses postponed the deadline to Jan. 27, 2023, and Japanese Assets then sought and obtained approval from its shareholders for a second extension, to July 27, 2023.

The Outcomes

East Assets itself had no important income in 2022.

Abacus Life itself focuses on shopping for and promoting insurance policies for buyers. It misplaced $52,495 in 2022 on $25 million in income and $3.2 million in property, in line with a deal-related doc filed with the U.S. Securities and Trade Fee.

The agency estimated that $12 million of its 2022 income got here from transactions involving life insurance coverage brokers, $9.9 million from transactions involving life settlement brokers and $3.1 million from working instantly with shoppers.

Abacus Life reported that its Longevity Market Belongings affiliate, which invests in life insurance coverage insurance policies itself and companies life insurance coverage coverage portfolios for Abacus Life and different firms, earned $32 million in 2022 on $45 million in income and $59 million in property.

Longevity Market Belongings earned $1.5 million of its income from servicing life insurance coverage coverage property; $38 million from life insurance coverage coverage funding revenue; and $5.4 million from will increase within the honest worth of the insurance policies in its portfolio.