Assured Guaranty to contribute asset management business to Sound Point for 30% stake; deal accretive

Concurrently with the execution and delivery of the Transaction Agreement, each of Assured Guaranty Municipal Corp. (“AGM”) and Assured Guaranty Corp. (“AGC” and, together with AGM, the “US Insurers”), each a direct or indirect wholly-owned subsidiary of AGUS, entered into an investment agreement (the “Investment Agreement”) with Sound Point and GP Parent, pursuant to which AGC and AGM agreed, effective upon, and subject to, the closing (the “Closing”) of the transactions contemplated by the Transaction Agreement (the “Transaction”), to engage Sound Point as their sole alternative credit manager and agreed to invest at least $1 billion over time in one or more vehicles and separately managed accounts managed by Sound Point in accordance with the terms of the Investment Agreement.

On April 5, 2023, Assured Guaranty US Holdings Inc. (“AGUS”), a wholly owned subsidiary of Assured Guaranty Ltd. (“AGL” and, together with its affiliates, “Assured Guaranty”) and its affiliates Assured Investment Management LLC (“AssuredIM”) and Assured Investment Management GP Holdings LLC (“AssuredIM GP”) entered into a transaction agreement (the “Transaction Agreement”) with Sound Point Capital Management, L.P. (“Sound Point”) and Sound Point GP Parent, LLC (“GP Parent”) pursuant to which Assured Guaranty agreed to contribute to Sound Point its asset management business, other than that conducted by Assured Healthcare Partners LLC.