Invesco buys back $1.5 billion of preference shares from MassMutual at 12.5 per cent premium

MassMutual keeps $1 billion of the preferred stock after the deal, and Invesco paid for the buyback with a new five-year loan.

Invesco is buying back $1.5 billion of its 5.9 per cent Series A preference shares from Massachusetts Mutual Life Insurance Company, known as MassMutual. Invesco will pay a 12.5 per cent premium on the $1,000 per share liquidation preference. That is the amount owed to holders before common shareholders if the company is wound up.

Invesco paid for the buyback with a new unsecured term loan of $1.5 billion. Unsecured means no specific assets back the debt. The loan was borrowed in full on October 26, 2026, and matures on October 26, 2031. The facility can be raised to $2.0 billion.

MassMutual owns about 18.5 per cent of Invesco's common shares. After the transaction, it will still hold $1 billion of the preferred stock, measured by aggregate liquidation preference.

Invesco has bought preferred stock back from MassMutual before. In April 2025 it agreed to buy back $1 billion of Series A shares at a 15 per cent premium, funded with floating rate bank term loans. Floating rate means the interest cost moves with market rates. This deal pays a lower premium on a larger block and uses a five-year unsecured loan. Because MassMutual keeps $1 billion, part of the preferred stays outstanding.