NI Holdings, Inc. Completes the Sale of Westminster American Insurance Company
Rhea-AI Summary
NI Holdings (NASDAQ: NODK) announced the completion of the sale of Westminster American Insurance Company for $10.5 million in cash. The sale, subject to certain post-closing adjustments, follows a Purchase Agreement dated May 7, 2024. This move aligns with NI Holdings' strategic decisions to streamline its operations. NI Holdings, a North Dakota-based insurance holding company, includes subsidiaries such as Nodak Insurance, American West Insurance, Primero Insurance, and Battle Creek Insurance. The financial performance of NI Holdings is consolidated across these entities.
Positive
- Completion of the sale of Westminster American Insurance Company for $10.5 million in cash.
- Strategic streamlining of operations by divesting a subsidiary.
Negative
- Potential risk of adverse post-closing adjustments affecting the final sale amount.
News Market Reaction 1 Alert
On the day this news was published, NODK gained 1.74%, reflecting a mild positive market reaction.
Data tracked by StockTitan Argus on the day of publication.
FARGO, N.D., July 05, 2024 (GLOBE NEWSWIRE) -- NI Holdings, Inc. (NASDAQ: NODK) has completed the previously announced sale of its wholly-owned commercial insurance subsidiary, Westminster American Insurance Company, to a private party. The total consideration for the sale was
About the Company
NI Holdings, Inc. is an insurance holding company. The company is a North Dakota business corporation that is the stock holding company of Nodak Insurance Company and became such in connection with the conversion of Nodak Mutual Insurance Company from a mutual to stock form of organization and the creation of a mutual holding company. The conversion was consummated on March 13, 2017. Immediately following the conversion, all of the outstanding shares of common stock of Nodak Insurance Company were issued to Nodak Mutual Group, Inc., which then contributed the shares to NI Holdings in exchange for
Safe Harbor Statement
Some of the statements included in this news release, particularly those relating to the closing of the sale and potential post-closing adjustments, are forward-looking statements within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. Actual results could vary materially. Factors that could cause actual results to vary materially include the risks we describe in the periodic reports we file with the Securities and Exchange Commission. You should not place undue reliance on any such forward-looking statements. We disclaim any obligation to update such statements or to announce publicly the results of any revisions that we may make to any forward-looking statements to reflect the occurrence of anticipated or unanticipated events or circumstances after the date of such statements.
For a detailed discussion of the risk factors that could affect our actual results, please refer to the risk factors identified in our SEC reports, including, but not limited to our Annual Report on Form 10-K, as filed with the SEC.
Investor Relations Contact:
Seth Daggett
Executive Vice President, Treasurer and Chief Financial Officer
701-298-4348
IR@nodakins.com
FAQ
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