Falcone's Fidelity & Guaranty higher after IPO

|About: Fidelity & Guaranty Life (FGL)|By:, SA News Editor

Fidelity & Guaranty Life (FGL) is at $18.50 in early trades after pricing its 9.7M share IPO at $17 each (expected range was $17-$19).

The insurer is controlled by Philip Falcone's Harbinger Group (HRG +2.7%), but Falcone himself is banned from being an officer or director after a settlement with the SEC. The company is run by former MetLife exec Lee Launer.

Falcone bought the company from Old Mutual Plc for about $350M in 2011 in a bet he could do a better job managing the insurer's portfolio.