North Western Lift to be bought out by a Prosperity Life affiliate for $500 a share
National Western Life Group Inc. (NWLI) announced an agreement Monday to be acquired by Prosperity Life Group affiliate S. USA Life Insurance company in a cash deal valued at $1.9 billion. National Western's stock shot up 13.9% into record territory after a trading halt for news was lifted. Under terms of the deal, each National Western share outstanding will be converted into the right to receive $500 in cash, which represents a premium of 19.8% to Friday's closing price of $417.19 and is 7.9% above the Aug. 30 record close of $463.22. The deal, which follows National Western review of strategic alternatives to boost shareholder value, is expected to close in the first half of 2024. "The transaction provides clear and immediate value for our stockholders at an attractive premium," said National Western Chief Executive Ross Moody. The life insurer's stock has lost 1.1% over the past three months through Friday, while the SPDR S&P Insurance ETF (KIE) has gained 4.0% and the S&P 500 has slipped 2.1%.
-Tomi Kilgore
This content was created by MarketWatch, which is operated by Dow Jones & Co. MarketWatch is published independently from Dow Jones Newswires and The Wall Street Journal.
(END) Dow Jones Newswires
10-09-23 0851ET
Copyright (c) 2023 Dow Jones & Company, Inc.-
What’s Happening in the Markets This Week
-
Worst-Performing Stock ETFs of the Quarter
-
Q3 in Review and Q4 2024 Market Outlook
-
Top-Performing Stock ETFs of the Quarter
-
September Jobs Report Forecasts Show Moderate Hiring Gains
-
Port Strike a Headache for Shippers but a Potential Tailwind for Certain US Transport Stocks
-
13 Charts on Q3′s Roller-Coaster Rally for Stocks and Bonds
-
5 Stocks to Buy Instead of Overpriced US Equities
-
Consumer Defensives: Despite Angst, Thirsty Investors Have Names to Pursue
-
Industrials: Many Stocks Overvalued After Q3 Outperformance
-
Basic Materials: Despite Index Rise, We See Multiple Long-Term Opportunities
-
What the Election Could Mean for Big Tech Stocks
-
3 Lessons From Recent Stock Market Drama
-
Consumer Cyclicals: Even Amid Moderating Consumer Spending, We See Discounts
-
Healthcare: Valuations Look Fair Overall, With Select Industries Still Undervalued
-
Utilities: Falling Interest Rates, Growth Outlook Boosting Stocks