Nov 3 2012
Torchmark Corporation (NYSE: TMK ) is pleased to announce that it closed the previously announced purchase of Family Heritage Life Insurance Company of America (Family Heritage), a privately-held supplemental health insurance provider, on November 1, 2012 for approximately $232 million, subject to final post-closing adjustments. This transaction is expected to be immediately accretive to net operating earnings per share with minimal impact, if any, on Torchmark's free cash flow available for stock repurchases or the RBC ratios of the insurance subsidiaries.
"We look forward to working with the Family Heritage team to ensure a seamless transition," said Torchmark co-CEO's Gary Coleman and Larry Hutchison. "We have complete confidence in the Family Heritage management, agents and employees."
Wells Fargo acted as financial advisor to Torchmark, while Locke Lord LLP served as legal advisor.