News Column

Tiptree Buying Fortegra for $10 a Share

August 12, 2014

Associated Press

NEW YORK (AP) Tiptree Financial Inc. is buying insurance services company Fortegra Financial Corp. for about $218 million.

Tiptree will pay $10 per share for each Fortegra share, an approximately 42.5 percent premium to the Jacksonville, Florida, company's Monday closing price of $7.02.

Tiptree is a diversified holding company that actively acquires new businesses. The New York company concentrates on segments including insurance and insurance services, specialty finance, asset management and real estate.

Fortegra will have a 30-day period in which it can actively solicit and evaluate alternative proposals.

Both companies' boards unanimously approved the deal.

Tiptree and Fortegra anticipate the transaction closing later this year or early next year. Fortegra's stock will stop trading on the New York Stock Exchange once the acquisition is complete.

Fortegra's stock rose $2.65, or 37.8 percent, to $9.67 before the market open on Tuesday. Shares of Tiptree gained 81 cents, or 11.2 percent, to $8.03 in premarket trading.

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Original headline: Tiptree buying Fortegra Financial for about $218M


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Source: Copyright 2014 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.


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