National General Holdings Corp. Announces Acquisition of Assigned Risk Solutions Ltd.

National General Holdings Corp.

today announced that it has closed upon the acquisition of Assigned Risk Solutions Ltd. ("ARS"), a New Jersey based managing general agency that services assigned risk, personal auto, and commercial lines of business, for a purchase price of $47 million in cash and potential future earnout payments. Michael Karfunkel, Chairman and Chief Executive Officer of National General, stated: "We are excited about the addition of ARS to our growing personal lines franchise. ARS has a solid track record of profitability, managed over $100 million in premium in 2014 across their multi-state distribution platform, and is a dominant player in this niche market which is a unique and complementary business to our current portfolio. The transaction provides a valuable stream of fee income which we believe we can grow in the years to come, increased geographic diversification, expansion into a new product line, and we expect will be immediately accretive to earnings. We believe this combination will enhance both companies, including the benefit of putting ARS on our low-cost state-of-the-art technology platform, and we look forward to working with the ARS team and providing them with the broad resources and capabilities that National General has to offer." Locke Lord LLP acted as legal counsel to National General in connection with the transaction.