Palomar Holdings in California Launches Primary and Secondary Public Offering

January 7, 2020

La Jolla, Calif.-based Palomar Holdings Inc. announced the underwritten public offering of 5 million shares of the company’s common stock, par value $0.0001 per share, which consists of 750,000 shares of common stock offered by the company and 4,250,000 shares of common stock offered by certain selling stockholders, including affiliates of Genstar Capital.

The Genstar Affiliates also intend to grant the underwriters of the offering an option, exercisable within 30 days from the date of the final prospectus relating to the offering, to purchase up to an additional 750,000 shares of common stock at the public offering price, less underwriting discounts and commissions.

The company intends to use the net proceeds that it will receive from the offering for general corporate purposes, including to fund future growth. The company will not receive any proceeds from the sale of the shares by the selling stockholders.

Barclays Capital Inc., J.P. Morgan and Keefe, Bruyette & Woods Inc. will act as joint lead book-running managers for the offering. Evercore Group L.L.C., William Blair & Company L.L.C., Piper Sandler & Co. and SunTrust Robinson Humphrey Inc. will also act as joint book-running managers for the offering. JMP Securities LLC is acting as co-manager for the offering.

The offering is being made only by means of a prospectus. Copies of the preliminary prospectus relating to this offering, when available, may be obtained from Barclays Capital Inc, J.P. Morgan Securities LLC, or Keefe, Bruyette & Woods Inc.

A registration statement relating to these securities has been filed with the Securities and Exchange Commission but has not yet become effective.

Palomar Holdings is the parent and insurance holding company of its operating subsidiaries, Palomar Specialty Insurance Co. and Palomar Specialty Reinsurance Company Bermuda Ltd. Palomar is an insurer that focuses on the provision of specialty property insurance for residential and commercial clients.

Shares of Palomar (NASDAQ:PLMR) fell 3.3% to $50.04 in trading on Tuesday.

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