ST. PETERSBURG, Fla.--(BUSINESS WIRE)--United Insurance Holdings Corp. (NASDAQ: UIHC) (UPC Insurance or the Company), a property and casualty insurance holding company, today announced the closing of its previously-announced underwritten public offering of $150.0 million of 6.250% senior notes due 2027.
The Company intends to use part of the net proceeds from the offering to redeem $30 million aggregate principal amount of its floating rate senior notes due 2026, and the remaining amount for general corporate purposes.
“We’re pleased to close this financing,” said John Forney, President & CEO of UPC Insurance. “We came out of the record-setting 2017 hurricane season in very strong financial position, so we did not need to do this offering to replenish capital. Instead, we plan to use the proceeds to take advantage of the many growth opportunities we anticipate in the coming months and years.”
Raymond James & Associates, Inc. and Wells Fargo Securities, LLC acted as joint book-running managers of the offering.
The Company has filed a shelf registration statement, including a prospectus, with the U.S. Securities and Exchange Commission (“SEC”) and the SEC declared it effective. The offering was made only by means of the preliminary prospectus supplement relating to the notes and the accompanying prospectus, which was filed by the Company with the SEC on December 7, 2017. Copies of the preliminary prospectus supplement and the accompanying prospectus, and the final prospectus supplement, may be obtained from Raymond James & Associates, Inc., 880 Carillon Parkway, St. Petersburg, Florida 33716 Attn: Prospectus Department, calling: (800) 248-8863 or emailing: email@example.com or Wells Fargo Securities, LLC, 608 2nd Avenue South, Suite 1000, Minneapolis, MN 55402 Attn: WFS Customer Service, calling: toll-free 1-800-645-3751 or emailing: firstname.lastname@example.org or by visiting the SEC’s website at www.sec.gov.
This press release is for informational purposes only and shall not constitute an offer to sell or a solicitation of an offer to purchase any notes and shall not constitute an offer, solicitation or sale in any state or jurisdiction in which, or to any person to whom, such an offer, solicitation or sale would be unlawful.
About UPC Insurance
Founded in 1999, UPC Insurance is an insurance holding company that sources, writes and services residential property and casualty insurance policies using a network of independent agents and a group of wholly owned insurance subsidiaries. The Company currently writes policies in Connecticut, Florida, Georgia, Hawaii, Louisiana, Massachusetts, New Jersey, New York, North Carolina, Rhode Island, South Carolina and Texas, and is licensed to write in Alabama, Delaware, Maryland, Mississippi, New Hampshire, and Virginia. UPC Insurance also has a commercial residential product in Florida. The Company’s commercial presence was further expanded by the merger with Florida’s largest commercial property writer, American Coastal Insurance Company. From its headquarters in St. Petersburg, UPC Insurance's team of dedicated professionals manages a completely integrated insurance company, including sales, underwriting, customer service and claims. UPC Insurance is a company committed to financial stability and solvency.
Statements in this press release that are not historical facts, including those relating to the anticipated use of proceeds from the offering, are “forward-looking statements” that are subject to uncertainty. These statements are made subject to the safe-harbor provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements do not relate strictly to historical or current facts and may be identified by their use of words such as “may,” “will,” “expect,” "endeavor," "project," “believe,” “anticipate,” “intend,” “could,” “would,” “estimate,” or “continue” or the negative variations thereof or comparable terminology are intended to identify forward-looking statements. We believe these statements are based on reasonable estimates, assumptions and plans. However, if the estimates, assumptions or plans underlying the forward-looking statements prove inaccurate or if other risks or uncertainties arise, actual results could differ materially from those communicated in these forward-looking statements. Factors that could cause actual results to differ materially from those expressed in, or implied by, the forward-looking statements may be found in our filings with the U.S. Securities and Exchange Commission, including the “Risk Factors” section in our most recent Annual Report on Form 10-K and subsequent Quarterly Reports on Form 10-Q. Forward-looking statements speak only as of the date on which they are made, and, except as required by applicable law, we undertake no obligation to update or revise any forward-looking statement.