Property and auto-focused insurance group Progressive has announced the completion of its acquisition of Protective Insurance Corporation for approximately $338 million.
First announced in February 2021, the transaction saw Protective shareholders receive $23.30 per share in cash, without interest, for their Class A and Class B common shares.
The per share price represents a 49.1% premium and 63.2% premium, respectively, and Progressive funded the purchase through liquid investments on hand.
Following the acquisition, Protective’s offices in Carmel, Indiana will be maintained, as will the company’s existing employees.
“We’re pleased the transaction has closed and especially want to acknowledge the talented Protective employees who have built a strong foundation and created momentum in their markets to set us all up for success,” said Karen Bailo, Progressive’s Commercial Lines President.
“We look forward to joining as one team and profitably growing the business together. For now, we’ll all remain focused on providing our customers, partners and clients with the exceptional service they expect and deserve, as we work towards making decisions on how to best integrate and operate our businesses to provide greater opportunities for growth.”
“With the closing of the merger with Progressive now complete, we look forward to starting our new chapter as part of the Progressive team,” added Jeremy Edgecliffe-Johnson, Protective’s Chief Executive Officer.
“This presents an exciting opportunity for our customers, our employees and our partners as we look to grow in the markets we serve, while remaining true to what has made us successful – responsive products, excellence in claims, specialized loss prevention and an extraordinary focus on customer service. We have a long history of creating exceptional value to the motor carrier industry and are committed to become even more valuable as we move forward.”