- PSC Insurance Group (PSI) has received firm commitments for a placement to raise $80 million
- The financial stock will issue about 17.7 million to investors at $4.50 per share, which is a 5.3% discount from the March 9 closing price.
- PSC says it will use the money to support future mergers and acquisitions as well as maintain current debt levels
- PSC shares ended Friday’s session 4.55% in the red to close at $4.62
PSC Insurance Group (PSI) has received firm commitments for a placement aimed at raising $80 million.
The company will issue approximately 17.7 million shares to institutional and sophisticated investors. Each share will be priced at $4.50, which is a 5.3% discount from the March 9 closing price.
The funds will be used to support future mergers and acquisitions in line with PSC Insurance’s strategy.
Since January 2021, PSC Insurance has completed 12 acquisitions for a base purchase price of $119 million, bringing in $16 million in additional revenue on an annualized basis.
According to PSC, it has a good pipeline of acquisition opportunities and is particularly focused on acquisitions of commercial brokerage businesses in the UK and Australia, a number of which are undergoing due diligence. .
The money will also help the company maintain current debt levels reflecting the volatility in global markets.
PSC ended Friday’s session 4.55% in the red to close at $4.62.