Mergers & Acquisitions

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Deal Overview

Buyer:
FedNat Holding Company
Actual Acquirer:
FedNat Holding Company
Target:
Homeowners Insurance Operations
Deal Type:
Insurance Company
Insurance Sector
Property & Casualty
Agreement Date:
2/25/2019
Announcement Date:
2/25/2019
Announced Deal Value ($ M):
51.00
Announced Deal Value, As Reported ($ M)
51.00
Status:
Completed
Announced Deal Value Per Share ($ )
NA
Completion Date:
12/2/2019

Consideration Breakout
Cash ($M) 25.5
Common Stock ($M) 26.4
Common Stock Issued 1,773,102

Deal Pricing Ratios

Announcement Completion
Price / Earnings (x) 37.5 38.1
Price / Book (%) 115.4 117.6
Price / Statutory Net Income (x) NA NA
Price / Earnings (x) NM NA
Price / Capital & Surplus (%) 16.6 16.9
Price / Operating Income (x) 143.1 NA
Price / Net Premiums Written (x) 0.83 NA
Deal Terms
Description of Consideration

FedNat Holding Co. paid approximately $25.5 million in cash and issued 1,773,102 common shares to acquire homeowners insurance operations from 1347 Property Insurance Holdings Inc.

Percent Acquired (%) NA
Accounting Method Acquisition
Merger of Equals? No
Estimated Cost Savings (%) 25.00
Estimated Cost Savings ($ 000) 5,000
Est. Restructuring Charges ($ 000) 9,000
Deal Advisers
Financial Advisers
Party Advised Adviser Hired? Firm Name
Buyer Yes Raymond James & Assoc. Inc.
Seller Yes Sandler O'Neill & Partners LP
Legal Counsel
Party Advised Adviser Hired? Firm Name
Buyer Yes Nelson Mullins Riley
Seller Yes Thompson Hine LLP