CLEARWATER, Fla., Nov. 30, 2017 /PRNewswire/ — Heritage Insurance Holdings, Inc. (NYSE: HRTG) (“Heritage” or the “Company”), a property and casualty insurance holding company, today announced the completion of its acquisition of NBIC Holdings, Inc., the parent company of Narragansett Bay Insurance Company (“NBIC”), a leading specialty underwriter of personal residential insurance products and services in states along the Eastern seaboard. Heritage acquired NBIC for $250 million, consisting of $210 million in cash and $40 million in shares of its common stock, subject to post-closing adjustments. The combined entity will be a leading super regional personal lines carrier, with a presence in 11 states and over $900 million of gross premiums written. Heritage expects the transaction to be immediately accretive to earnings per share and ROE.
Bruce Lucas, the Company’s Chairman and CEO, said, “We are very excited to join forces with NBIC, a seasoned company with a strong track record and talented management team. Completing this acquisition represents a quantum leap forward in executing our geographic diversification strategy. We see an enormous opportunity to leverage our combined platform to accelerate growth along the Eastern seaboard. We expect an approximate increase of 50% in gross premiums written and net income in 2018 as a direct result of this transaction. The new products, partnerships and bundled products that we will gain from the NBIC business make this transformative acquisition an important step in our continued growth. We look forward to working with NBIC’s employees and agents for years to come.”
Heritage Insurance Holdings, Inc. is a property and casualty insurance holding company headquartered in Clearwater, Florida. Its subsidiaries, Heritage Property & Casualty Insurance Company, Zephyr Insurance Company and NBIC Holdings, Inc. (“NBIC”), write personal and commercial residential premium through a large network of experienced agents in Florida, Hawaii, North Carolina, South Carolina, Georgia, and Alabama, and, with the acquisition of NBIC, also in Connecticut, Massachusetts, New Jersey, New York and Rhode Island. Heritage Insurance Holdings, Inc. is led by a seasoned senior management team with an average of 30 years of insurance industry experience.
About Narragansett Bay Insurance Company
Narragansett Bay Insurance Company, headquartered in Rhode Island, offers specialty insurance services and products to homeowners through an extensive network of independent agents along the Eastern Seaboard and actively seeks to insure coastal homeowners. Demotech, an independent financial analysis and actuarial services firm that rates the