Latest Expansion of Capabilities in Housing Market
ATLANTA, July 6, 2016—Assurant, Inc. (NYSE: AIZ) announced today its acquisition of American Title, Inc., a leader in title and valuation services for home equity lenders.
American Title will operate as part of Assurant’s Mortgage Solutions business, whose capabilities include property preservation, appraisal and valuation services. ATI’s primary business lines include title services, settlement services and valuation for home equity loans, as well as conventional mortgages and refinancing.
“American Title is a strong fit with our focus on risk management in the housing market,” said Michael Campbell, president, Global Home, Assurant. “As a leader in home equity title and valuation, ATI adds another important dimension to the expansion of our capabilities across the home and mortgage value chain, to more holistically serve our clients.”
American Title’s experienced team of approximately 400 professionals will maintain their current offices in Omaha, Nebraska, and Palm Bay, Florida.
Privately held, American Title was founded in 1994 and acquired in 2004 by Bill Mackintosh, who led the company until his death earlier this year. Co-owners Mike Mackintosh and Ashley Horgan will continue to lead the business as part of Assurant. Assurant and the American Title team will work to ensure a seamless transition for employees, clients and customers following the acquisition.
“We have the highest regard for the business the Mackintosh family and their team have built in ATI, and we welcome them to Assurant,” Campbell said.
“Joining with a respected Fortune 500 leader builds on our company’s legacy and brings us greater capabilities and resources,” Mackintosh said. “We’ve always been committed to our clients, our people and the communities where we serve. That won’t change now that we’re part of the broader Assurant team.”
American Title, with annualized fee income of approximately $48 million, expands Assurant’s fee-based businesses, and serves the growing home-equity field. The company was acquired for $45 million in cash, with a potential earnout based on future performance. Assurant expects the transaction to be modestly accretive to earnings in 2017.
Assurant Inc. (NYSE: AIZ) is a global provider of risk management solutions, protecting where consumers live and the goods they buy. A Fortune 500 company, Assurant focuses on the housing and lifestyle markets, and is among the market leaders in mobile device protection; extended service contracts; vehicle protection; pre-funded funeral insurance; renters insurance; lender-placed homeowners insurance; and mortgage valuation and field services. With approximately $30 billion in assets as of March 31, 2016, and $8 billion in annual revenue for the year ended 2015, Assurant is located in 16 countries, while its Assurant Foundation works to support and improve communities. Learn more at assurant.com or on Twitter @AssurantNews.
CAUTIONARY STATEMENT - Some of the statements included in this news release, particularly statements regarding this acquisition, may be forward-looking statements within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. Forward-looking statements are based on management's best estimates, assumptions and projections and are subject to significant uncertainties. Assurant undertakes no obligation to update any forward-looking statements in this news release as a result of new information or future events or developments. For a detailed discussion of the general risk factors that could affect our results, please refer to the risk factors identified in our annual and periodic reports, including but not limited to our 2015 Annual Report on Form 10-K and our First Quarter Report on Form 10-Q, as filed with the U.S. Securities and Exchange Commission.
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