Raymond James on Brighthouse Financial, Inc. (BHF): 'We think recent media reports imply that Aquarian is raising more than enough capital/ financing'

Raymond James analyst Wilma Burdis reiterated a Strong Buy rating and $72.00 price target on Brighthouse Financial, Inc. (NASDAQ: BHF).

The analyst comments "Earlier today, Bloomberg reported that Aquarian and co-investors are in talks to purchase Brighthouse (BHF) for $65-70 per share. The article cites that the deal could value BHF’s equity at as much as $4 billion. Per Bloomberg, a decision may come as soon as next week. Bloomberg notes that the deal could fall through and that BHF and Aquarian have not commented. ● Aquarian is reportedly discussing the investment with Mubadala Capital (which is already an investor in Aquarian) and Qatar Investment Authority. These partners could provide half (or more) of the equity capital for the deal. ● We think recent media reports imply that Aquarian is raising more than enough capital/ financing to support Bloomberg’s cited takeout price. The Financial Times (FT) previously reported that Aquarian is raising “more than $3 billion” in equity. And, the FT cites that Aquarian is also raising new debt, which we think would be incremental to BHF’s existing capital structure. Per FT, debt financing has been secured from Royal Bank of Canada, Nomura, and Société Générale."

For an analyst ratings summary and ratings history on Brighthouse Financial, Inc. click here. For more ratings news on Brighthouse Financial, Inc. click here.

Shares of Brighthouse Financial, Inc. closed at $45.26 yesterday.

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