Austin, Texas-based American Physicians Service Group Inc. announced the planned acquisition of its long-time client, American Physicians Insurance Exchange.
The companies anticipate completing the merger prior to the end of 2006, subject to approval by the Texas Department of Insurance, necessary filings with the SEC, and the approval of the shareholders of APS and subscriber-policyholders of APIE.
The purchase price will include approximately 1.7 million shares of APS common stock issued to the policyholders of APIE and the assumption of approximately $10.4 million in obligations, which will be converted to APS preferred stock with a cash redemption requirement.
Dr. Norris Knight and Dr. William Peche, who have over 50 years of combined service on the APIE Board of Directors, will be joining the Board of APS.
APS is a management and financial services firm with subsidiaries and affiliates which provide: medical malpractice insurance services for doctors; and brokerage and investment services to institutions and high net worth individuals. The company is headquartered in Austin and maintains offices in Dallas and Houston.
For further information, visit APS’ Web site at www.amph.com.
Source: American Physicians Service Group Inc.