Atlas Financial Holdings, Inc., a commercial automobile insurance business, has closed its underwritten public offering of 2,000,000 ordinary common shares of the company at a price to the public of $12.50 per share for gross proceeds of $25,000,000. Underwriters exercised their right to purchase an additional 161,000 common shares increasing gross proceeds to $27,012,500.
The net proceeds from the sale of the shares, after deducting the underwriters' discounts and other estimated offering expenses payable by the company, will be approximately $25,061,750. Total outstanding common shares are 11,771,586 after the issuance.
Atlas said that it plans to use the net proceeds from the offering for general corporate purposes, including, without limitation, business expansion, working capital, and possible acquisitions.
“We expect this capital raise to allow Atlas to continue to take advantage of the increasingly favorable insurance market conditions we've identified in our specialty niche and are pleased to have completed the offering at this time,” commented Scott D. Wollney, the company's president and chief executive officer. “Our focus has been, and remains, to consistently exceed the P&C insurance industry return on equity. With this incremental capital coupled with the opportunities we are pursuing, achieving this goal on an even larger scale is possible.”
Sandler O'Neill + Partners, L.P., acted as the book-running manager for the offering. Janney Montgomery Scott LLC and Sterne, Agee & Leach, Inc., acted as co-managers for the offering.
Learn more: http://www.atlas-fin.com/.
Victoria Spears
Victoria Prussen Spears is senior vice president of Meyerowitz Communications Inc., a law firm marketing communications consulting company. A graduate of Sarah Lawrence College and Brooklyn Law School, Ms. Spears was an attorney at a leading New York City law firm before joining Meyerowitz Communications. She may be contacted at [email protected].