Global Indemnity Group, LLC Suspends the Exploration of the Sale or Merger of Penn-America and Global Indemnity
December 07 2023 - 8:00AM
Business Wire
Global Indemnity Group, LLC Suspends the Exploration of the Sale
or Merger of Penn-America and Global Indemnity, Increases Size of
Board of Directors, Announces Fred Karlinsky as New Designated
Director, and Intends to Continue Share Repurchases Under Existing
$135 Million Authorization
Global Indemnity Group, LLC (NYSE:GBLI) (“Global Indemnity” or
the “Company”) announced today that it suspended the exploration of
the sale or merger of Penn-America, Global Indemnity’s insurance
group, and Global Indemnity itself at this time.
Saul Fox, Global Indemnity’s Chairman, stated: “Our merger &
acquisition market information that suggested we pursue a
transaction at this time was not realized.” Jay Brown, Global
Indemnity’s Chief Executive Officer, added: “Given the Company’s
debt-free balance sheet and strong reserve base, coupled with our
enviable decades-long profitability, outstanding management team,
and extensive national agent and broker network, Penn-America is
well-positioned to achieve exceptional financial results for our
owners.”
Global Indemnity also announced that it increased the size of
its Board of Directors to seven members to accommodate the
designation of Fred Karlinsky, Esq., to the Board. Mr. Karlinsky is
Co-Chair of Greenberg Traurig, LLP’s global insurance practice.
“Fred has broad experience advising highly profitable,
growth-oriented insurance industry participants,” said Saul Fox.
Fred Karlinsky added: “I am thrilled to join Saul, Jay and the team
in helping continue to create best of breed insurance products in
this dynamic environment.”
Global Indemnity intends to continue to buy back shares pursuant
to its previously announced $135 million authorization, of which
$100 million of capacity remains. The timing and actual number of
shares repurchased, if any, will depend on a variety of factors,
including price, general business and market conditions, and
alternative investment opportunities. Share repurchases under the
authorization may be made through a variety of methods, which may
include open market purchases, privately negotiated transactions or
any other method or combination of methods. The share repurchase
program, however, does not obligate Global Indemnity to acquire any
amount of its common shares, and the repurchase program may be
suspended or discontinued at any time at the Company's
discretion.
About Global Indemnity Group, LLC and its
subsidiaries
Global Indemnity Group, LLC (NYSE:GBLI), through its several
direct and indirect wholly owned subsidiary insurance companies,
provides both admitted and non-admitted specialty property and
specialty casualty insurance coverages and individual policyholder
coverages in the United States, as well as reinsurance worldwide.
Global Indemnity Group, LLC’s Continuing Lines segments are
Commercial Specialty and Reinsurance Operations. The Exited Lines
segment is comprised of business which the Company has decided it
will no longer write.
For more information, visit the Company’s website at
www.gbli.com.
Forward-Looking Information
The forward-looking statements contained in this press release
do not address a number of risks and uncertainties. Investors are
cautioned that Global Indemnity’s actual results may be materially
different from the estimates expressed in, or implied, or projected
by, the forward-looking statements. These statements are based on
estimates and information available to us at the time of this press
release. All forward-looking statements in this press release are
based on information available to Global Indemnity as of the date
hereof. Please see Global Indemnity’s filings with the Securities
and Exchange Commission for a discussion of risks and uncertainties
which could impact the company and for a more detailed explication
regarding forward-looking statements. Global Indemnity does not
assume any obligation to update the forward-looking statements
provided to reflect events that occur or circumstances that exist
after the date on which they were made.
[1] Disseminated pursuant to the "safe harbor" provisions of
Section 21E of the Security Exchange Act of 1934.
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version on businesswire.com: https://www.businesswire.com/news/home/20231207720507/en/
Media Stephen W. Ries Head of Investor Relations (610)
668-3270 sries@gbli.com
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