National Western Life Group, Inc. and Prosperity Life Group have announced the expected closing date for their $1.9 billion cash merger, which is set to take place no later than Thursday, July 11, 2024. The acquisition of National Western by Prosperity Life Group's subsidiary, USA Life Insurance Company, Inc. (SUSA), has received all required regulatory approvals.
As a result of the merger, each share of National Western common stock will be converted into the right to receive $500 in cash at closing. National Western's board of directors unanimously approved the transaction, which was also approved by the majority of the company's outstanding shares at a special meeting held on January 8, 2024.
As of March 31, 2024, National Western Life Group, Inc. maintained consolidated total assets of $12.1 billion, consolidated stockholders' equity of $2.5 billion, and combined life insurance in force of $17.7 billion. On the other hand, Prosperity Life Group, a marketing name for certain subsidiaries of Prosperity Group Holdings, LP, is an innovative insurance, reinsurance, and asset management company. Its underwriting companies are licensed in 48 states plus the District of Columbia, and the company has been providing life insurance, asset accumulation, and supplemental health products for over 100 years.
The acquisition marks a significant development in the insurance and financial sector, with the merging entities set to create a stronger and more diversified presence in the market. Following these announcements, the company's shares moved 0.5%, and are now trading at a price of $499.3. If you want to know more, read the company's complete 8-K report here.
