US commercial automobile insurance provider Atlas Financial has completed the acquisition of Camelot Services, and its lone insurance subsidiary, Gateway Insurance, for nearly $23m.
Based on terms of agreement inked on 24 October 2012, the acquirer has purchased all outstanding common shares of the parent company, subject to final adjustment.
The acquisition will boost Atlas's commercial automobile presence in 40 states, including California, the District of Columbia, Hawaii, Montana, Nebraska, North Dakota, South Dakota, Washington, and West Virginia.
The acquirer has agreed to remain managing Gateway's public auto insurance business, through its current brand name, while offering seamless transition for existing customers and agents.
Established in 1946, Gateway Insurance provides automobiles insurance in 46 states including the District of Columbia and currently underwrites almost $10m of annual taxi and limousine net written premiums.
Sandler O'Neill + Partners offered financial advice and DLA Piper acted as legal counsel to Atlas, while StoneRidge Advisors served as financial advisor and Freeborn & Peters and Leo Law provided legal advice to the seller.
