TAMPA,
Fla., Dec. 19, 2023 /PRNewswire/ -- Heritage
Insurance Holdings, Inc. (NYSE: HRTG) ("Heritage," or the
"Company"), a super-regional property and casualty insurance
holding company, today announced the completion of a primary
offering of 3,703,703 shares of its common stock, at a public
offering price of $6.75 per share
(the "Public Offering"). In addition, the underwriter has a 30-day
option to purchase up to an additional 555,555 shares of common
stock at the public offering price less underwriting discounts and
commissions.
Concurrently, Heritage announced the completion of the purchase
by Raymond T. Hyer, a current holder
of approximately 13.5% of our outstanding common stock, in a
concurrent private placement, 148,148 shares of our common stock at
the public offering price (the "Hyer Private Placement").
Additionally, Heritage announced the completion of the purchase by
Ernie Garateix, a director of our
company and our Chief Executive Officer, and Paul L. Whiting, a director of our company, of
27,247 and 40,871, respectively, shares of our common stock at
$7.34, the closing price of our
common stock on December 14, 2023
(the "Director Private Placements" and together with the Hyer
Private Placement, the "Private Placement").
The gross proceeds to Heritage from the Public Offering and
Private Placement, before deducting underwriting discounts,
commissions and other offering expenses, are approximately
$26.5 million.
As previously disclosed, Heritage intends to use the net
proceeds from the Public Offering and the Private Placement for
general corporate and operations purposes and to provide capital
for anticipated growth and expansion efforts.
JonesTrading Institutional Services LLC ("JonesTrading") acted
as the sole book-running manager for the Public Offering.
Stonybrook Capital, LLC and its affiliates (registered
representatives of Weild & Co, member FINRA and SIPC) acted as
Financial Advisor.
The Public Offering was made pursuant to a shelf registration
statement on Form S-3 filed with the Securities Exchange Commission
(the "SEC"), and declared effective by the SEC on April 22, 2021, and only by means of a prospectus
and prospectus supplement. The final terms of the Public Offering
were disclosed in a final prospectus supplement filed with the SEC
and is available on the SEC's website at www.sec.gov.
Alternatively, copies of the prospectus supplement and accompanying
prospectus relating to the Public Offering may be obtained by
sending a request to: JonesTrading, Attention: Equity Capital
Markets, 325 Hudson Street, 6th Floor, New York, NY 10013; email:
ecm@jonestrading.com.
The sale of shares of common stock in the Private Placement was
made in reliance on an exemption from the registration requirements
under Section 4(a)(2) of the Securities Act of 1933, as
amended.
About Heritage Insurance Holdings, Inc.
Heritage Insurance Holdings, Inc. is a super-regional property
and casualty insurance holding company. Through its insurance
subsidiaries and a large network of experienced agents, the Company
writes approximately $1.3 billion of
gross personal and commercial residential premium across its
multi-state footprint.
Forward-Looking and Cautionary Statements:
This press
release contains "forward-looking statements" within the meaning of
the Private Securities Litigation Reform Act of 1995, as amended.
This press release contains forward-looking statements regarding
the use of proceeds from the Public Offering and Private Placement.
These forward-looking statements are subject to a number of risks
and uncertainties, many of which involve factors or circumstances
that are beyond Heritage's control, including, without limitation,
market conditions, the trading price and volatility of our common
stock, and the satisfaction of customary closing conditions related
to the Public Offering. Actual results could differ materially from
those stated or implied in these forward-looking statements due to
a number of factors, including but not limited to, risks detailed
in the sections entitled "Risk Factors" and elsewhere in Heritage's
most recent Annual Report on Form 10-K filed with the Securities
and Exchange Commission, as well as in the Registration Statement
on Form S-3 related to the shares filed with the SEC. The
forward-looking statements included in this press release should
not be unduly relied upon, represent Heritage's views only as of
the date of this press release and do not represent Heritage's
views as of any subsequent date. Heritage undertakes no intention
or obligation to update or revise any forward-looking statements,
whether as a result of new information, future events, changes in
Heritage's expectations or otherwise, except as required by
law.
Contact:
Kirk Lusk
Chief Financial Officer
klusk@heritagepci.com
investors@heritagepci.com
Zack Mukewa and Mike Houston
Investor Relations
Lambert
HRTG@lambert.com
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SOURCE Heritage Insurance Holdings, Inc.