Super-regional property and casualty insurance holding company, Heritage Insurance Holdings, Inc., has completed the primary offering of 3,703,703 shares of its common stock, which alongside a private placement, has raised gross proceeds of $26.5 million.
Additionally, the underwriter has a 30-day option to purchase up to an additional 555,555 shares of common stock at the public offering price less underwriting discounts and commissions.
At the same time, Heritage has also completed the purchase by Raymond T. Hyer, a current holder of approximately 13.5% of its outstanding common stock, in a concurrent private placement, 148,148 shares of common stock at the public offering price.
Heritage has also announced the completion of the purchase by Ernie Garateix, Director of its company and its Chief Executive Officer, and Paul L. Whiting, a director of the company, of 27,247 and 40,871, respectively, shares of common stock at $7.34, the closing price on December 14, 2023.
The gross proceeds to Heritage from the Public Offering and Private Placement, before deducting underwriting discounts, commissions and other offering expenses, are approximately $26.5 million.
As previously announced, the company intends to use the net proceeds from the offering for general corporate and operations purposes and to provide capital for anticipated growth and expansion efforts.
JonesTrading Institutional Services LLC acted as the sole book-running manager for the Public Offering. Meanwhile, Stonybrook Capital, LLC and its affiliates acted as Financial Advisor.
