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NEW YORK, Dec 10, 2020 (World NEWSWIRE by means of COMTEX) —
NEW YORK, Dec. 10, 2020 (Globe NEWSWIRE) — HC2 Holdings, Inc. (“HC2” or the “Enterprise”) (NYSE: HCHC), a diversified holding organization, introduced these days that it has acquired a non-binding sign of desire (the “Indicator of Interest”) for the potential acquisition of the Firm’s insurance plan phase from Continental Standard Holdings LLC (the “Customer”), an entity managed by Michael Gorzynski, a director of the Company and helpful proprietor of about 6.6% of the Company’s excellent frequent stock, for a full probable transaction benefit of roughly $90 million, topic to selected changes, consisting of, among other matters, a mix of $65 million in hard cash and the transfer to HC2 (or cancellation) and/or modification of the phrases of particular HC2 and HC2-affiliate securities owned by Continental. The Firm’s insurance coverage segment is comprised of Continental Insurance coverage Team Ltd. and its oblique, wholly-owned subsidiaries, Continental General Insurance Business and Continental LTC Inc. (collectively, “Continental”).
The transactions contemplated by the Indicator of Curiosity are predicted to be conditioned on, among other factors, receipt of all required regulatory approvals (such as acceptance by the Texas Office of Coverage), receipt of other expected consents and approvals, receipt of a fairness viewpoint and approval by the board of directors of HC2 (the “Board”). Mr. Gorzynski, Government Chairman of Continental Basic Insurance coverage Business in addition to his job as a director of HC2, and Kenneth Courtis, an HC2 director, are recusing themselves from Board deliberations on this matter.
The Board intends to have interaction a economic advisor, adhering to which time it expects to very carefully consider the Indication of Fascination and, if acceptable, negotiate with representatives of the Customer. Skadden, Arps, Slate, Meagher & Flom LLP is serving as HC2’s authorized advisor. The Enterprise is not in a position to make any prediction at this time as to its reaction to the Customer or any final result relating to the Indication of Fascination. There can be no assurance that any proposal or binding provide will be manufactured or recognized, that any definitive arrangement will be executed (or the timing or final phrases thereof), or that any transaction will be consummated in relationship with the Indicator of Curiosity. The Organization expects to file with the U.S. Securities and Exchange Fee a Recent Report on Form 8-K that will include things like a description of the Indication of Curiosity.
HC2 just lately accomplished a $65 million legal rights giving and has been evaluating its portfolio to simplify its small business, situation the Firm for expansion and profitability, and enrich its cash composition.
About HC2
HC2 Holdings, Inc.(NYSE: HCHC) has a class major portfolio of belongings generally in Infrastructure, Everyday living Sciences, Cleanse Electrical power, Spectrum and Coverage. HC2’s greatest working subsidiary is DBM World-wide Inc., a relatives of corporations delivering totally integrated structural and metal development services. Founded in 1994, HC2 is headquartered in New York, New York and immediately employs 18 men and women.
Cautionary Assertion Regarding Forward-Seeking Statements
Safe and sound Harbor Assertion under the Personal Securities Litigation Reform Act of 1995: This press release is made up of, and specific oral statements manufactured by our reps from time to time may perhaps consist of, ahead-looking statements with regards to the Indication of Interest and the transactions contemplated therefore, all of which include pitfalls, assumptions and uncertainties, several of which are outdoors of the Firm’s command, and are subject to transform. Appropriately, no assurance can be specified that any proposal or binding provide will be produced or approved, or that any transaction will be consummated on the conditions contained in the Indication of Curiosity, or at all. All forward-looking statements communicate only as of the date created, and except legally expected, HC2 undertakes no obligation to update or revise publicly any forward-on the lookout statements, regardless of whether as a outcome of new info, long term functions or if not.
Media Make contact with:
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Paul Caminiti/Pam Greene/Luc Herbowy
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(212) 433-4600
Trader Get in touch with:
FNK IR
Matt Chesler, CFA
[email protected]
(212) 235-2691
COMTEX_375897727/2471/2020-12-10T16:18:08
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