Symbility Solutions, a wholly-owned subsidiary of Automated Benefits, has completed acquisition of Decision Insight Information Group’s wholly-owned subsidiary Marshall & Swift/Boeckh’s (MSB) claims division.
Symbility Solutions chief executive officer James Swayze said the transaction augments the company’s existing expertise in claims processing, loss estimating solutions and process analytics technologies.
As part of the transaction, the Corporation issued 52,189,286 common shares, having an approximate value of C$18.1m, to MSB and certain of its affiliates, which represents 30% of the common shares issued and outstanding immediately following the issuance.
Under the agreement, MSB purchased 7,021,530 common shares at a price of C$0.27 per common share by way of a private placement for aggregate gross proceeds to the Corporation of $1.9m, which proceeds will be used for general working capital purposes.
Decision Insight also purchased additional common shares to collectively own 33.29 % of Automated Benefits’ common shares.
Additionally, three representatives from Decision Insight and TPG Capital have been named to Automated Benefits’ Board of Directors.
The corporation will a fund cash dividend in the amount of C$0.01 per Common Share to shareholders of record and is expected to pay the dividend on or around 20 April 2012.