SAN DIEGO and HOUSTON,
June 10, 2015 /PRNewswire/ --
Shareholder rights attorneys at Robbins Arroyo LLP are
investigating the proposed acquisition of HCC Insurance Holdings
Inc. (NYSE: HCC) by Tokio Marine Holdings Inc. (OTC: TKOMY). On
June 10, 2015, the two companies
announced the signing of a definitive merger agreement pursuant to
which Tokio will acquire
HCC. Under the terms of the agreement, HCC shareholders will
receive $78.00 in cash for each share
of HCC common stock.
View this information on the law firm's Shareholder Rights Blog:
www.robbinsarroyo.com/shareholders-rights-blog/hcc-insurance-holdings-inc
Is the Proposed Acquisition Best for HCC and Its
Shareholders?
Robbins Arroyo LLP's investigation focuses on whether the board
of directors at HCC is undertaking a fair process to obtain maximum
value and adequately compensate its shareholders.
As an initial matter, the $78.00
merger consideration represents a premium of only 35.1% based on
HCC's closing price on June 3, 2015.
This premium is significantly below the average one-week premium of
nearly 47.5% for comparable transactions within the past five
years.
On April 28, 2015, HCC reported
strong quarterly earnings results for its first quarter 2015. Total
revenue was $676.5 million, an
increase of 4.2% compared to the same quarter of 2014. Net earnings
were $112.9 million, an increase of
4.6% compared to the same quarter of 2014. Additionally, HCC has
beat consensus analyst estimates for adjusted EPS and adjusted net
income in every quarter for the past two years, and beat consensus
analyst estimates for sales in three out of the past four
quarters. In commenting on these results, HCC Chief Executive
Officer Christopher J.B. Williams
remarked, "For the third consecutive year, we are pleased to report
record first quarter results. Despite a challenging market, we
continue to grow our businesses selectively and profitably, with
net written premium up 13% overall and 4% excluding ProAg. We are
pleased with ProAg's results, which are slightly ahead of our
expectations."
In light of these facts, Robbins Arroyo LLP is examining HCC's
board of directors' decision to sell the company now rather than
allow shareholders to continue to participate in the company's
continued success and future growth prospects.
HCC shareholders have the option to file a class action lawsuit
to ensure the board of directors obtains the best possible price
for shareholders and the disclosure of material information. HCC
shareholders interested in information about their rights and
potential remedies can contact attorney Darnell R. Donahue at (800) 350-6003,
ddonahue@robbinsarroyo.com, or via the shareholder information form
on the firm's website.
Robbins Arroyo LLP is a nationally recognized leader in
securities litigation and shareholder rights law. The law
firm represents individual and institutional investors in
shareholder derivative and securities class action lawsuits, and
has helped its clients realize more than $1
billion of value for themselves and the companies in which
they have invested.
Attorney Advertising. Past results do not guarantee a
similar outcome.
Contact:
Darnell R. Donahue
Robbins Arroyo LLP
600 B Street, Suite 1900
San Diego, CA 92101
ddonahue@robbinsarroyo.com
(619) 525-3990 or Toll Free (800) 350-6003
www.robbinsarroyo.com
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SOURCE Robbins Arroyo LLP