SUNRISE, Fla., Aug. 1, 2014 (GLOBE NEWSWIRE) -- Federated National Holding Company (Nasdaq:FNHC) (the "Company"), a Florida-based provider of insurance, announced that it has priced an underwritten public offering of 2,051,283 shares of its common stock at a price to the public of $19.50 per share for gross proceeds of $40.0 million. 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 $37.4 million. The Company has also granted the underwriters a 30-day option to purchase up to an additional 307,692 shares of common stock offered in the public offering to cover overallotments, if any. The Company will use the net proceeds from the sale of the common stock for general working capital purposes, including as statutory capital in support of the Company's growth and to sustain its capital levels after its investment in Monarch, once organized. The closing of the offering is subject to market and other conditions. The offering is expected to close on August 6, 2014. Raymond James is serving as book-running manager, and William Blair and Janney Montgomery Scott are acting as co-managers. The offering is being made pursuant to an effective shelf registration statement (File No. 333-195980) previously filed with the U.S. Securities and Exchange Commission ("SEC"). A preliminary prospectus supplement related to the offering was filed with the SEC on July 29, 2014. A final prospectus supplement and accompanying prospectus describing the terms of the offering will be filed with the SEC on August 1, 2014 and will be available on its website at http://www.sec.gov. A copy of the prospectus relating to this offering may be obtained from Raymond James & Associates, Inc., 880 Carillon Parkway, St. Petersburg, Florida 33716, (800) 248-8863. This press release shall not constitute an offer to sell or the solicitation of an offer to buy the securities described herein, nor shall there be any sale of these securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or other jurisdiction. Any offer of these securities will be solely by means of the prospectus included in the registration statement and the prospectus supplement that will be issued in connection with the offering.
About the CompanyThe Company is authorized to underwrite and/or place, through its wholly owned subsidiaries, homeowners' multi-peril ("homeowners"), commercial general liability, federal flood, personal auto and various other lines of insurance in Florida and various other states. The Company markets and distributes its own and third-party insurers' products and its other services through a network of independent agents. The Company also utilizes a select number of general agents for the same purpose. Forward-Looking Statements/Safe Harbor Statement Safe harbor statement under the Private Securities Litigation Reform Act of 1995: Statements that are not historical fact are forward-looking statements that are subject to certain risks and uncertainties that could cause actual events and results to differ materially from those discussed herein. Without limiting the generality of the foregoing, words such as "anticipate," "believe," "budget," "contemplate," "continue," "could," "envision," "estimate," "expect," "guidance," "indicate," "intend," "may," "might," "plan," "possibly," "potential," "predict," "probably," "pro-forma," "project," "seek," "should," "target," or "will" or the negative thereof or other variations thereon and similar words or phrases or comparable terminology are intended to identify forward-looking statements. Forward-looking statements might also include, but are not limited to, one or more of the following:
- Projections of revenues, income, earnings per share, dividends, capital structure or other financial items or measures;
- Descriptions of plans or objectives of management for future operations, insurance products, or services;
- Forecasts of future insurable events, economic performance, liquidity, need for funding and income; and
- Descriptions of assumptions or estimates underlying or relating to any of the foregoing.
CONTACT: Michael H. Braun, CEO (954) 308-1322 or Peter J. Prygelski, CFO (954) 308-1252 Federated National Holding Company