Key Developments: Kingsway Financial Services Inc (KFS)
3.48USD
18 Jun 2013
$0.02 (+0.58%)
$3.46
$3.45
$3.48
$3.42
400
13,156
$4.48
$1.74
Latest Key Developments (Source: Significant Developments)
Kingsway Financial Services Inc Announces Terms Of Proposed Rights Offering
Kingsway Financial Services Inc announced that it has filed a registration statement for a proposed rights offering relating to transferable subscription rights to purchase up to approximately $13.1 million of shares of common stock and warrants to purchase Common Shares. Under the proposed rights offering, each shareholder of record as of the record date will receive, at no charge, one subscription right for each Common Share owned on the record date (the Subscription Right). Four Subscription Rights will entitle the holder to purchase one unit consisting of one Common Share, one Series A Warrant and one Series B Warrant (a Unit). Each warrant entitles the holder to purchase one Common Share. The subscription price is $4.00 per Unit. Holders who fully exercise their Subscription Rights will be entitled to subscribe for an additional amount of Units, if any, that are not purchased by other shareholders or their transferees through the exercise of their basic subscription privileges, in an amount equal to up to five Units for each Unit for which such holder was otherwise entitled to subscribe. Kingsway reserves the right to cancel or terminate the proposed rights offering at any time prior to the expiration date and for any reason. Full Article
Kingsway Financial Services Inc Announces Acquisition Of HVAC Warranty Business
Kingsway Financial Services Inc and its subsidiary, 1347 Capital LLC, announced that the Company has finalized the purchase of certain tangible and intangible assets of Trinity Warranty Corporation (Trinity). Trinity, based in Lombard, Illinois, is a provider of warranty products and maintenance support to consumers and businesses in the heating, ventilation, air conditioning (HVAC) and refrigeration industry. The tangible and intangible assets of Trinity are being acquired for total consideration consisting of cash and future contingent payments. The terms of the acquisition were not disclosed. Full Article
Kingsway Financial Services Inc's Kingsway America Inc Announces Sale Of 2,625,000 Shares Of Its Atlas Financial Holdings Inc
Kingsway Financial Services Inc announced that it has executed an underwriting agreement to sell 2,625,000 shares of the common stock of Atlas Financial Holdings, Inc. (Atlas) held by its downstream holding company, Kingsway America Inc. The shares are being offered as part of Atlas' United States initial public offering at a price per share of $5.85. Net of transaction expenses, Kingsway expects to receive approximately $13.8 million of proceeds from the sale and report a loss on the transaction of approximately $3.7 million. Following the transaction, Kingsway retains 1,262,471 shares of Atlas common stock and $18.0 million of Atlas preferred shares. As of December 31, 2012, Kingsway also has accrued preferred dividends receivable from Atlas of $1.7 million. References to share price and number of common shares reflect Atlas' previously announced share consolidation. Full Article
Kingsway Financial Services Inc Announces Acquisition Of Vehicle Protection Service Business
Kingsway Financial Services Inc and its subsidiary, 1347 Capital LLC, announced that the Company has finalized the purchase of certain tangible and intangible assets and liabilities of Intercontinental Warranty Services, Inc. (IWS). IWS, based in Boca Raton, Florida, is a provider of after-market vehicle protection services to credit unions throughout the country. IWS is well-known in the credit union community for providing vehicle service agreements, mechanical breakdown insurance, and guaranteed asset protection to their members in conjunction with their auto loans. The tangible and intangible assets and liabilities of IWS are being acquired in a structured transaction for total consideration consisting of cash, future contingent payments and common equity in a newly formed entity. Kingsway expects the business to be immediately accretive to operating income and cash flow. This purchase marks the consummation of the previously announced execution of a definitive agreement, dated February 21, 2012, to acquire a specialty insurance business. Sandler O'Neill + Partners, L.P. acted as exclusive financial advisor to Kingsway, and Updike, Kelly & Spellacy, P.C. acted as legal counsel to Kingsway. Terms of the tranaction were not disclosed. Full Article
Kingsway Financial Services Inc Announces Restructuring Of Insurance Services And Insurance Underwriting Segments
Kingsway Financial Services Inc announced that it is restructuring Insurance Services and Insurance Underwriting segments. As part of the Insurance Services restructuring, Bradley Diericx will be joining the Company on September 17, 2012 as an Executive Vice President. As part of the Insurance Underwriting restructuring, Kingsway will post $11.4 million, or $0.87 per share, in additional unpaid loss and loss adjustment expenses. This amount includes $9.4 million related to the Company's Kingsway Amigo Insurance Company business primarily to increase prior accident year unpaid loss and loss adjustment expenses on Amigo's commercial automobile and personal injury protection coverages. This amount also includes $2.0 million related to the Company's Mendota Insurance Company and Mendakota Insurance Company business primarily to increase prior accident year unpaid loss and loss adjustment expenses on their personal automobile physical damage, uninsured motorist and bodily injury coverages. Kingsway also intends to streamline non-standard property and casualty insurance business operations under one management team led by William A. Hickey, Jr., Kingsway's EVP, CFO, and COO. After the restructuring, the Insurance Underwriting segment principally includes the following subsidiaries of the Company: Mendota, Mendakota, Universal Casualty Company, Amigo, KAI Advantage Auto, Inc., Kingsway Reinsurance Corporation and Kingsway Reinsurance (Bermuda) Ltd. Full Article
Kingsway Financial Services Inc Does Not Recommend Dividend
Kingsway Financial Services Inc announced that the Board of Directors declared no dividend for the second quarter of 2012. Full Article
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