Golden Apple May Acquire Universal

Florida-based Golden Apple Holding Company, a wholly owned subsidiary of Navigator Ventures Inc., offered to enter into a ninety day period of exclusive discussion with the Board of Directors of Universal Insurance Holdings Inc., which may result in the acquisition of 80 percent of Universal’s outstanding stock at a price of 1.5 times reconstituted book value. The move was based on a request from Universal’s institutional shareholders.

The offer is subject to due diligence, and regulatory as well as shareholder approval. Also, at the urging of certain shareholders of Universal, Golden Apple proposed to immediately take over day to day management of Universal under supervision by Universal’s board of directors. Along with the proposal, Golden Apple provided the Board of Directors with a number of operational alternatives that it believes will immediately impact positively on the company.

Universal is a mono-line Florida domestic homeowner’s insurance company with several related subsidiaries based in Dade County, Florida.

Golden Apple has secured support of its offer by institutional shareholders owning approximately 7.1 million of the 17,795,000 outstanding shares of common stock, as shown in Universal’s last public filing.

One of Golden Apple’s advisors has received a letter from Universal’s management requesting an affidavit of identification from Golden Apple. Golden Apple provided that affidavit on November 13, 2002.

Topics Florida Mergers & Acquisitions