TORONTO, May 22, 2013 /CNW/ - (TSX: KFS, NYSE: KFS) Kingsway Financial Services Inc. ("Kingsway" or
the "Company") and its subsidiary, 1347 Capital LLC, announced today
that the Company has finalized the purchase of certain tangible and
intangible assets of Trinity Warranty Corporation ("Trinity"). Trinity,
based in Lombard, Illinois, is a provider of warranty products and
maintenance support to consumers and businesses in the heating,
ventilation, air conditioning ("HVAC") and refrigeration industry. The
tangible and intangible assets of Trinity are being acquired for total
consideration consisting of cash and future contingent payments.
Kingsway expects the business to be accretive to cash flows.
"We believe Trinity has a compelling value proposition in serving HVAC
manufacturers, distributors and consumers in its role as a third-party
administrator of warranty products, and we are excited that it is
joining the Kingsway family," said Larry G. Swets, Jr., Kingsway's
President and Chief Executive Officer.
About the Company
Kingsway is a holding company functioning as a merchant bank with a
focus on long-term value-creation. The Company owns or controls stakes
in several insurance industry assets and utilizes its subsidiaries,
1347 Advisors LLC and 1347 Capital LLC, to pursue opportunities acting
as an advisor, an investor and a financier. The common shares of
Kingsway are listed on the Toronto Stock Exchange and the New York
Stock Exchange under the trading symbol "KFS."
Forward Looking Statements
This press release includes "forward looking statements" within the
meaning of Section 27A of the Securities Act of 1933 and Section 21E of
the Securities Exchange Act of 1934 that are not historical facts, and
involve risks and uncertainties that could cause actual results to
differ materially from those expected and projected. Words such as
"expects", "believes", "anticipates", "intends", "estimates", "seeks"
and variations and similar words and expressions are intended to
identify such forward-looking statements. Such forward looking
statements relate to future events or future performance, but reflect
Kingsway management's current beliefs, based on information currently
available. A number of factors could cause actual events, performance
or results to differ materially from the events, performance and
results discussed in the forward looking statements, including, without
limitation, our potential inability to complete current or future
acquisitions successfully, our inability to successfully implement our
restructuring activities, and our inability to adequately estimate and
provide for an appropriate level of reserving at our insurance company
subsidiaries. For information identifying important factors that could
cause actual results to differ materially from those anticipated in the
forward looking statements, please refer to the section entitled "Risk
Factors" in the Company's 2012 Annual Report on Form 10-K and its
Quarterly Report on Form 10-Q for the quarter ended March 31, 2013.
Except as expressly required by applicable securities law, the Company
disclaims any intention or obligation to update or revise any forward
looking statements whether as a result of new information, future
events or otherwise.
Additional information about Kingsway, including a copy of its 2012
Annual Report on Form 10-K and its Quarterly Report on Form 10-Q for
the quarter ended March 31, 2013, can be accessed on the Canadian
Securities Administrators' website at www.sedar.com, on the EDGAR section of the U.S. Securities and Exchange Commission's
website at www.sec.gov or through the Company's website at www.kingsway-financial.com.
SOURCE: Kingsway Financial Services Inc.