secwatch / observer
8-K filed January 31, 2024, 6:59 PM ET CIK 0001539894
other material confidence high sentiment negative materiality 0.80

Atlas Financial Holdings, Inc.: M&A transaction — Atlas Financial settles $12.7M debt by transferring Anchor Group and UBI Holdings to SRMI

Atlas Financial Holdings, Inc.

Key facts

Extracted from this filing and checked against the source text.

Debt Financings SEC 8-K Item 2.03/2.04 confidence 0.7

Atlas Financial Holdings, Inc. reported a default on credit facility of approximately $10.0 million with Sheridan Road Partners, LLC, as administrative agent.

Instrument
credit facility
Principal
approximately $10.0 million
Counterparty
Sheridan Road Partners, LLC, as administrative agent
Event
default
Exact text from the filing
Prior to entering into the Agreement, the Company was not in compliance with the minimum liquidity requirements set out in the Credit Agreement, which failure to comply constituted an event of default under the Credit Agreement that, if not cured, would result in the total outstanding principal and interest owed under the Credit Agreement in an aggregate amount equal to approximately $10.0 million to immediately become due and payable.
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M&A Transactions SEC 8-K Item 2.01/5.01 confidence 0.9

Atlas Financial Holdings, Inc. completed a disposition involving STAT Risk Management, Inc. for satisfaction of indebtedness of the Company and its subsidiaries of approximately $12.7 million (closed 2024-01-25).

Action
disposition
Counterparty
STAT Risk Management, Inc.
Consideration
satisfaction of indebtedness of the Company and its subsidiaries of approximately $12.7 million
Closing
2024-01-25
Exact text from the filing
SRMI acquired all of the issued and outstanding shares of the Company’s indirect subsidiaries Anchor Group Management Inc., a New York corporation, and UBI Holdings, Inc., a Delaware corporation, in exchange for satisfaction of indebtedness of the Company and its subsidiaries of approximately $12.7 million owed to SRMI under the Credit Agreement and certain demand notes.
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Material Agreements SEC 8-K Item 1.01/1.02 confidence 0.9

Atlas Financial Holdings, Inc. entered into Collateral Acceptance Agreement with STAT Risk Management, Inc. valued at approximately $12.7 million (effective 2024-01-25).

Action
entry
Agreement
credit facility
Counterparty
STAT Risk Management, Inc.
Value
approximately $12.7 million
Effective
2024-01-25
Exact text from the filing
On January 25, 2024, Atlas Financial Holdings, Inc., a Cayman Islands exempted company limited by shares (the “Company”), and a direct subsidiary of the Company entered into a Collateral Acceptance Agreement (the “Agreement”) with STAT Risk Management, Inc., a Delaware corporation (“SRMI”), and Sheridan Road Partners, LLC, as administrative agent under the Company’s previously disclosed Convertible Senior Secured Delayed-Draw Credit Agreement, dated as of September 1, 2021 (as amended, the “Credit Agreement”).
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Source: SEC EDGAR
accession 0001104659-24-008805
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