Conifer Holdings has completed the sale of its insurance agency operations to an undisclosed buyer while also offloading its remaining stake in Sycamore Specialty Underwriters.
The price tag for the insurance agency operations was $45 million. Meanwhile, Conifer could receive up to $25 million in additional earn-out payments, contingent on the future performance of the sold unit.
For the Sycamore shareholding, Conifer was paid $3 million at closing, with a further $3.5 million set to be paid by the end of the year.
With the divestment, Conifer has exited the insurance agency business entirely and anticipates a significant reduction in revenue. Following the transactions, Nick Petcoff resigned as chief executive and as a board director, taking a position with the acquiring company.
Replacing Petcoff at the helm is Conifer president Brian Roney, who was appointed by the board as CEO. Prior to his promotion, Roney was in charge of Conifer’s general operations as well as its finance and investor relations functions. The president-turned-CEO has been with the firm since 2010.
Petcoff became sole chief executive of Conifer on December 31, 2023, after James Petcoff stepped down as chairman and co-CEO.
Last October, the former chair stated: “With the recent successful completion of our September 30, 2023 debt maturity, I believe that our company is well-positioned going forward.”
Meanwhile, according to Conifer, further details regarding the sales will be included in a Form 8-K, expected to be filed with the Securities and Exchange Commission by September 6.
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