Assured Guaranty Ltd., a newly created holding company and subsidiary of ACE Ltd., has filed an S-1 with the Securities and Exchange Commission for the sale of 49,000,000 shares of common stock with a target price of $18 to $20 per share. With the IPO, Assured Guaranty is looking to expand both its direct financial guaranty and financial guaranty reinsurance businesses. In doing so, the company hopes to attain a Aaa' rating from Moody's Investor Service to match its AAA' rating from Standard & Poor's. Moody's currently rates AG at Aa2'.

In an interesting twist, on March 31, Joseph Swain, former CEO of ACE's financial guaranty business, resigned. In his resignation, which was summarized in AG's filing, Swain cited differences with management over new business strategy and the ability to execute that strategy due to his concerns about the relevant experience of management, staffing levels and corporate culture.

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