CII Financial Acquires Commind for $2.93 Million
CII Financial Inc., a Burbank workers’ compensation insurance company, said it acquired Commind Insurance Co., for $2.93 million worth of CII common stock. Commind also provides workers’ compensation insurance in California.
CII said it changed previously announced plans to sell 15-year convertible subordinated debentures, a form of debt securities, with a face value of $40 million. The company said it now plans to sell 1 million shares of common stock, with the offering price to be based on trading price of the company’s outstanding common shares on the American Stock Exchange. The company did not provide a reason for the change.
CII’s stock has traded recently for about $15 per share. CII previously said it would use the proceeds from selling the securities to increase the amount of business written by its main subsidiary, California Indemnity Insurance Co.