NEW YORK, Aug. 5, 2015 (GLOBE NEWSWIRE) -- AmTrust Financial Services, Inc. (Nasdaq:AFSI) (the "Company" or "AmTrust") today announced that it has entered into an agreement to acquire Amsterdam based, N.V, Nationale Borg-Maatschappij and its affiliates ("Nationale Borg") from Egeria and HAL Investments. The cash purchase price of €154 million is subject to adjustment based upon Nationale Borg's tangible book value at time of closing. Nationale Borg is a 120 year old, Amsterdam-based international direct writer and reinsurer of surety and trade credit insurance in over 70 countries. In 2014, Nationale Borg generated premiums of €91 million. Pending regulatory approval, the parties anticipate closing will occur by year-end 2015.
"Combining Nationale Borg's international and domestic surety and trade credit insurance operations with AmTrust's established surety operations creates a formidable global surety business with over $200 million in premiums," said AmTrust Financial Services, Inc. President and CEO, Barry Zyskind. "With the completion of the transaction, AmTrust will be in over 44 countries and have a platform with over one hundred years of experience. With this organization we believe we can continue to build a scalable and profitable operation in the niche market for surety and trade credit insurance."
About AmTrust Financial Services, Inc.
AmTrust Financial Services, Inc., a multinational insurance holding company headquartered in New York City, offers specialty property and casualty insurance products, including workers' compensation, commercial automobile, general liability and extended service and warranty coverage through its primary insurance subsidiaries rated "A" (Excellent) by A. M. Best Company.
Forward-Looking Statements
This news release contains "forward-looking statements" that are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. The forward-looking statements are based on the Company's current expectations and beliefs concerning future developments and their potential effects on the Company. Actual results may differ materially from those expressed or implied in these statements as a result of significant risks and uncertainties, including, but not limited to, non-receipt of expected payments from insureds or reinsurers, changes in interest rates, a downgrade in the financial strength ratings of our insurance subsidiaries, the effect of the performance of financial markets on our investment portfolio, the amounts, timing and prices of any share repurchases made by us under our share repurchase program, our estimates of the fair value of our life settlement contracts, development of claims and the effect on loss reserves, accuracy in projecting loss reserves, the cost and availability of reinsurance coverage, the effects of emerging claim and coverage issues, changes in the demand for our products, our degree of success in integrating acquired businesses, the effect of general economic conditions, state and federal legislation, regulations and regulatory investigations into industry practices, risks associated with conducting business outside the Unified States, developments relating to existing agreements, disruptions to our business relationships with Maiden Holdings, Ltd., National General Holdings Corp., ACP Re, Ltd. or third party agencies and warranty administrators, difficulties with technology or breaches in data security, heightened competition, changes in pricing environments, and changes in asset valuations. The forward-looking statements contained in this news release are made only as of the date of this release. The Company undertakes no obligation to publicly update any forward-looking statements except as may be required by law. Additional information about these risks and uncertainties, as well as others that may cause actual results to differ materially from those projected, is contained in the Company's filings with the Securities and Exchange Commission, including its annual report on Form 10-K and its quarterly reports on Form 10-Q.
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