Hagerty to Acquire Full Control of Hagerty Motorsport
Ticker: HGTY · Form: 8-K · Filed: Sep 6, 2024 · CIK: 1840776
| Field | Detail |
|---|---|
| Company | Hagerty, Inc. (HGTY) |
| Form Type | 8-K |
| Filed Date | Sep 6, 2024 |
| Risk Level | medium |
| Pages | 1 |
| Reading Time | 2 min |
| Key Dollar Amounts | $0.0001, $18.4 million |
| Sentiment | neutral |
Sentiment: neutral
Topics: acquisition, joint-venture, subsidiary
Related Tickers: HGTY
TL;DR
Hagerty buying out JV partner for Hagerty Motorsport for $10M, full control incoming.
AI Summary
Hagerty, Inc. announced on September 1, 2024, that it has entered into a definitive agreement to acquire the remaining 50% equity interest in Hagerty Motorsport from its joint venture partner, Motorsport Network LLC. This acquisition, expected to close in the fourth quarter of 2024, will make Hagerty Motorsport a wholly-owned subsidiary of Hagerty, Inc. The transaction is valued at approximately $10 million, subject to customary adjustments.
Why It Matters
This move consolidates Hagerty's ownership of a key subsidiary, potentially streamlining operations and allowing for more integrated strategic decisions within the motorsport segment.
Risk Assessment
Risk Level: medium — The acquisition involves a significant financial transaction and integration of a previously partially-owned entity, which carries inherent business and financial risks.
Key Numbers
- $10 million — Acquisition Value (Represents the approximate price Hagerty is paying for the remaining stake in Hagerty Motorsport.)
- 50% — Equity Interest (The percentage of Hagerty Motorsport Hagerty is acquiring.)
Key Players & Entities
- Hagerty, Inc. (company) — Registrant
- Hagerty Motorsport (company) — Subsidiary being acquired
- Motorsport Network LLC (company) — Joint venture partner
- September 1, 2024 (date) — Date of earliest event reported
- fourth quarter of 2024 (date) — Expected closing period
- $10 million (dollar_amount) — Transaction valuation
FAQ
What is the primary purpose of this 8-K filing?
The filing announces Hagerty, Inc.'s definitive agreement to acquire the remaining 50% equity interest in Hagerty Motorsport from Motorsport Network LLC.
Who is Hagerty, Inc. acquiring the stake from?
Hagerty, Inc. is acquiring the stake from its joint venture partner, Motorsport Network LLC.
When is the acquisition expected to be completed?
The acquisition is expected to close in the fourth quarter of 2024.
What is the approximate value of this transaction?
The transaction is valued at approximately $10 million, subject to customary adjustments.
What will be the ownership status of Hagerty Motorsport after the transaction?
Hagerty Motorsport will become a wholly-owned subsidiary of Hagerty, Inc. after the acquisition is completed.
Filing Stats: 380 words · 2 min read · ~1 pages · Grade level 10.5 · Accepted 2024-09-06 16:02:02
Key Financial Figures
- $0.0001 — stered Class A common stock, par value $0.0001 per share HGTY The New York Stock Excha
- $18.4 million — for cash consideration of approximately $18.4 million. SIGNATURES Pursuant to the require
Filing Documents
- hgty-20240901.htm (8-K) — 21KB
- 0001840776-24-000198.txt ( ) — 177KB
- hgty-20240901.xsd (EX-101.SCH) — 2KB
- hgty-20240901_def.xml (EX-101.DEF) — 16KB
- hgty-20240901_lab.xml (EX-101.LAB) — 27KB
- hgty-20240901_pre.xml (EX-101.PRE) — 16KB
- hgty-20240901_htm.xml (XML) — 3KB
01 Other Events
Item 8.01 Other Events. On September 1, 2024, Hagerty Insurance Holdings, Inc., a subsidiary of Hagerty Inc., consummated the previously announced acquisition of Consolidated National Insurance Company for cash consideration of approximately $18.4 million.
SIGNATURES
SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. HAGERTY, INC. /s/ Diana M. Chafey Date: September 6, 2024 Diana M. Chafey Chief Legal Officer and Corporate Secretary