Deal Profile – American Physicians Capital, Inc.
Relevant Statistics: |
Price Per Share: $41.50 |
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Background: |
American Physicians Capital, Inc. is a regional provider of medical professional liability insurance. The Company provides its insurance services in 16 states concentrated in the Midwest and Southeast. The Company offers insurance through American Physicians Assurance Corporation and APSpecialty Insurance Corporation. The Company ranks 22nd nationally among professional liability insurers, with approximately 8,800 policies in-force. The Company held a subscription rights demutualization in December 2000 in concert with its $155 million IPO. Raymond James served as managing underwriter in this demutualization. |
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Investment Banking Role: |
Raymond James issued a fairness opinion related to The Doctors Company’s proposed acquisition of ACAP. Shareholders will receive a cash consideration of $41.50 per share, for an aggregate purchase price of approximately $386 million. |
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Successful Outcome: |
American Physicians Capital successfully completed its acquisition by The Doctors Company on October 22, 2010. |
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American Physicians Capital, Inc. (NASDAQ: ACAP) is a regional provider of medical professional liability insurance focused primarily in the Midwest and New Mexico markets through American Physicians Assurance Corporation and its other subsidiaries. American Physicians Assurance Corporation holds a A.M. Best rating of “A-” (Excellent) while its other insurance company subsidiary (APSpecialty Insurance Corporation) holds an A.M. Best rating of “B+” (Good). As of 3/31/10, on an LTM basis, the Company had $110.4 million of direct premiums written and recorded $234.1 million of GAAP equity.