Heritage Insurance Prices Offering

Heritage Insurance, a property and casualty insurance holding company, said late Thursday it has priced a $125 million offering of 5.875% convertible senior notes due 2037 to qualified institutional buyers The initial purchaser will have a 30-day option to purchase up to an additional nearly $18.8 million.

The initial conversion rate will be 67.0264 shares of the company’s common stock per $1,000 principal, representing a premium of approximately 32.5% to the $11.26 per share closing price on Thursday. Proceeds of approximately $120.5 million are expected to be used to repurchase shares and to fund the cash portion of the company’s acquisition of NBIC, which could close as soon as Q4.