Midwest Holding, a technology-driven life and annuity platform, is to be acquired by international investment firm Antarctica Capital in a transaction valued at $100m.
Under the terms of the agreement, Midwest shareholders will receive $27.00 in cash per share, representing a 97% premium to the company’s closing share price on April 28, 2023, and a 75% premium over Midwest’s 30-day volume-weighted average price as of April 28, 2023.
Following the close of the deal, Midwest will continue to be led by its current leadership team. In addition, the life and annuity platform is expected to maintain its name, personnel, headquarters in Lincoln, Nebraska, and operational hubs in New York and Vermont.
Georgette Nicholas, chief executive officer of Midwest, said, “This transaction delivers a substantial cash premium to our shareholders while also providing Midwest with the resources necessary to fully capitalize on our platform, business momentum and market opportunity. The Board of Directors and management team conducted a comprehensive review of value creation opportunities, and we are confident this transaction provides a highly attractive outcome for Midwest. We look forward to working with the Antarctica team in this exciting new chapter.”
Chandra Patel, managing partner of Antarctica Capital, added, “Midwest is an innovative insurance platform with an impressive team that has built a rapidly growing annuity business. The acquisition of Midwest represents a significant milestone for Antarctica’s insurance strategy.
“Antarctica brings to Midwest its investment management expertise and asset origination capabilities that will enable Midwest to enhance the value it provides to its policyholders. In addition, we plan on utilising our platform and existing partnerships to accelerate Midwest’s “capital light strategy” to drive future growth. We look forward to welcoming Midwest to the Antarctica family of companies.”
Earlier this year, Insurify, a virtual insurance agent offering services to compare, buy and manage insurance, completed its acquisition of Compare.com Insurance Agency.
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