DivestmentMay 18, 2026, 08:12 AM
Boston Omaha to Sell Surety Insurance Unit for $84.3M Cash
AI Summary
Boston Omaha Corporation has entered into a definitive agreement to sell its General Indemnity Group (GIG) surety insurance business to CopperPoint Insurance Company for an all-cash purchase price of $84,308,757.68. Boston Omaha expects to receive approximately 93% of the net sale proceeds, along with 2,673,831 shares of Sky Harbour Class A common stock and $326,982 in cash from a previous sale. The transaction, which has been approved by both companies' boards, is anticipated to close in the second half of 2026, subject to regulatory and other approvals. The company plans to deploy the proceeds into new investment opportunities or share repurchases.
Key Highlights
- Boston Omaha to sell its General Indemnity Group (GIG) surety insurance business to CopperPoint Insurance Company.
- The all-cash purchase price for 100% of GIG's equity interests is $84,308,757.68.
- Boston Omaha expects to receive approximately 93% of the net sale proceeds.
- GIG will return 2,673,831 shares of Sky Harbour Class A common stock to Boston Omaha.
- GIG will distribute an additional $326,982 in cash to Boston Omaha.
- A portion of the purchase price, $5,250,000, will be held in escrow for two years.
- The transaction is expected to close in the second half of 2026, pending regulatory approvals.
- GIG reported total revenues of $27.2 million for the fiscal year ended December 31, 2025.
Price Impact
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