Hagerty Plans Significant Secondary Offering of Class A Stock
Hagerty Unveils Secondary Stock Offering
Hagerty, Inc. (NYSE: HGTY), a renowned brand within the automotive enthusiast community, has recently declared its plans to execute a substantial secondary public offering. This offering will consist of 8,700,000 shares of its Class A Common Stock. The initiative, led by Hagerty Holding Corp. and Aldel LLC, is designed to provide liquidity and ensure sustained growth for the brand.
Details of the Offering
As part of this stock offering, the selling stockholders are granting underwriters a 30-day option to acquire an additional 1,305,000 shares, aiming to attract a wide range of investors. It’s important to note that Hagerty itself will not benefit financially from this transaction, as the proceeds generated are intended for the selling stockholders. These stakeholders aim to utilize the earnings from their shares primarily for the purpose of a redemption related to the estate of Kim Hagerty.
Underwriters and Management Team
The offerings will be managed by experienced financial institutions, including Keefe, Bruyette & Woods and J.P. Morgan, serving as lead book runners. Additional involvement from BMO Capital Markets, Citizens Capital Markets, and Wells Fargo Securities ensures a robust and well-managed offering process. Oppenheimer & Co. will join as co-manager, further adding to the credibility and logistics of this stock offering.
Understanding Registration and Investment Considerations
In conjunction with the stock offering, Hagerty has duly filed a registration statement with the SEC. This document comprises a comprehensive prospectus providing potential investors with a detailed overview of the company’s framework and the specifics of the offering. It serves as a crucial resource for stakeholders contemplating investments. Interested individuals should consult this prospectus, and Hagerty has pledged to facilitate accessibility to these documents upon request through their underwriters and financial representatives.
The Forward-Looking Perspective
It's essential to recognize that this announcement includes forward-looking statements as per U.S. securities laws. These declarations suggest expectations regarding the timing and scope of the stock offering. Statements such as ‘anticipate’, ‘believe’, and ‘expect’ identify strategic outlooks in financial operations. Despite these forecasts, actual outcomes may diverge due to various operational factors and market dynamics.
What Sets Hagerty Apart in the Automotive Sector
Hagerty, Inc. stands out as a leader in providing specialty vehicle insurance tailored for automotive enthusiasts. With a commitment to enhance car culture and ensure that driving remains a treasured experience, Hagerty serves over 900,000 members through its Hagerty Drivers Club. The company not only provides expert car valuation services but also hosts events and auctions that resonate with the interests of car enthusiasts across North America, Canada, and the U.K.
Exploring Hagerty’s Broader Mission
Hagerty's mission transcends insurance; it’s about preserving a passion. The brand advocates for automotive culture, celebrating the thrill of driving. Their community outreach and initiatives are designed to engage those who appreciate the freedom and excitement driving brings. The focus on car enthusiasts aligns with their innovative approach to increasing engagement and membership, promoting a culture that resonates with millions.
Frequently Asked Questions
What is the primary purpose of the secondary offering?
The offering primarily allows selling stockholders to generate liquidity and utilize proceeds for strategic financial maneuvers related to the estate of Kim Hagerty.
Who are the underwriters for this offering?
The offering is being managed by Keefe, Bruyette & Woods, J.P. Morgan, and other financial institutions, ensuring professional management of the stock sale.
How can I access the registration statement and prospectus?
The SEC has made the registration statement publicly available. Interested investors can also request documents directly from Hagerty’s financial representatives.
What does Hagerty aim to achieve with this offering?
The company aims to maintain liquidity in its shares while allowing selling stockholders to achieve their financial objectives.
How does Hagerty engage with its community of car enthusiasts?
Hagerty engages its community through events, auctions, and membership services designed for car lovers, promoting a vibrant car culture.
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