Presidential Life Completes Acquisition of Shell Insurance Company [Professional Services Close – Up]

On July 3, pursuant to a Stock Purchase Agreement dated February 23, as amended on July 3, with GALAC Holding Company, the Seller and an affiliate of the American Financial Group, Inc., Presidential Life Corp. (the Company) completed the purchase of Great American Life Assurance Company (GALAC), an Ohio domiciled insurance company with approximately $5.60 million in statutory capital and surplus, for cash of $7.04 million.

According to a release, upon purchase, GALAC's statutory capital and surplus principally consists of cash, short-term investments, and bonds with minimal liabilities as policyholder obligations related to in-force contracts are fully reinsured. The purchase price is subject to adjustment for the differential between final statutory capital and surplus at June 30, and $5.60 million. GALAC maintains licenses to write life and annuity business in 38 states plus the District of Columbia. The Company is obtaining the aforesaid licenses and statutory capital and surplus as part of this transaction.

Presidential Life is a provider of fixed deferred and immediate annuities, life insurance and accident and health insurance products.

More information:

www.presidentiallife.com

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