Heritage Insurance Holdings, Inc. said today that it has received regulatory approval to proceed with its acquisition of NBIC Holdings, Inc., the parent company of Narragansett Bay Insurance Company.
Heritage announced its intention to acquire the parent of Narragansett Bay Insurance in August 2017, saying that it had offered $250 million to seal the deal, $210 million in cash and $40 million of the firm’s common stock.
Heritage has now announced the closing date for the acquisition as being the close of business on November 30th 2017.
Once the acquisition is complete, Heritage will represent a super-regional personal lines carrier with operations in 12 states and more than $900 million of gross premiums written.
The insurer said that it expects the acquisition will be “immediately accretive to earnings per share and return on average equity.”
Bruce Lucas, the Company’s Chairman and CEO, commented, “I am very excited to close the acquisition of NBIC. The acquisition represents a significant step forward for Heritage as we continue to diversify our top line growth and geographic diversification. Upon closing, Heritage will have over $900 million in gross written premiums spread across twelve states.
“This is a major milestone in our evolution from a Florida insurer to a super regional insurer with approximately two-thirds of our total insured value outside of Florida. NBIC is a seasoned company with a strong track record and talented management team, and will be a important asset for the Company as we continue our growth. We look forward to working with NBIC’s employees and agents as we continue to continue to build a best in class super regional insurer.”
