American Financial Group Inc. (AFG) will acquire Summit Holdings Southeast Inc. and its related companies from Liberty Mutual Insurance in an all-cash transaction. Summit is a provider of workers’ compensation solutions in the Southeast, with about $520 million of premium written. Following the transaction, Summit will continue to operate under the Summit brand as a member of AFG’s Great American Insurance Group.

AFG said it will pay Liberty Mutual Insurance an estimated $250 million at closing, subject to adjustment between signing and closing for changes in Summit’s GAAP tangible book value. AFG’s total capital investment in Summit will be about $400 million, inclusive of a capital contribution by AFG at closing. The transaction is expected to close in the first or second quarter of 2014.

Register or login for access to this item and much more

All Digital Insurance content is archived after seven days.

Community members receive:
  • All recent and archived articles
  • Conference offers and updates
  • A full menu of enewsletter options
  • Web seminars, white papers, ebooks

Don't have an account? Register for Free Unlimited Access