White Mountains To Acquire PICO Subsidiaries
White Mountains Solutions Holding Company, a wholly owned subsidiary of Bermuda-domiciled White Mountains Insurance Group, has entered into a definitive agreement to acquire Physicians Insurance of Ohio and Citation Insurance Company from PICO Holdings.
Both companies ceased underwriting in the mid-1990′s and have been in runoff since that time. Under the terms of the agreement, White Mountains Solutions will pay approximately $17 million subject to certain targeted pre-closing dividends. The transaction and related dividends are subject to Department of Insurance approvals in both California and Ohio.
“This acquisition continues our long track record of success in completing runoff acquisitions that allow sellers to achieve a clean exit from the insurance business,” commented Neal Wasserman, President of White Mountains Solutions.
This is the 8th runoff acquisition by the White Mountains Solutions team. The transaction is expected to close during the third quarter of 2012 subject to regulatory approvals and other customary closing conditions.
