---
schema_version: "secwatch.filing_event.v1"
accession: "0001437749-25-022212"
form_type: "8-K"
ticker: "KFS"
cik: "0001072627"
company_name: "KINGSWAY FINANCIAL SERVICES INC"
filed_at: "2025-07-07T23:59:59+00:00"
generated_at: "2026-05-18T09:15:17.195599+00:00"
event_type: "m_and_a"
sentiment: "neutral"
materiality_score: 0.7
calibrated_materiality_score: 0.7
confidence: "high"
source: SEC EDGAR
---

# Kingsway acquires Roundhouse Electric for $22.35M enterprise value; financed with $11M term loan

## Summary
- Acquired Roundhouse Electric & Equipment for enterprise valuation of $22.35M; paid $3.5M in phantom equity and cash consideration.
- Financed with $11M term loan (10-yr), $500K revolver, and $750K equipment line from Main Street Bank.
- Credit agreement includes covenants: Debt Service Coverage Ratio >=1.20x, Senior Funded Debt <=3.00x, Total Funded Debt <=4.00x.
- Transaction closed July 1, 2025; cash consideration subject to working capital adjustment with $1.313M escrow.

## SEC filing metadata
- accession: 0001437749-25-022212
- form_type: 8-K
- ticker: KFS
- cik: 0001072627
- company_name: KINGSWAY FINANCIAL SERVICES INC
- filed_at: 2025-07-07T23:59:59+00:00
- event_type: m_and_a
- sentiment: neutral
- materiality_score: 0.7
- calibrated_materiality_score: 0.7
- confidence: high
- sec_items: 1.01, 2.03, 7.01, 9.01
- EDGAR index: https://www.sec.gov/Archives/edgar/data/1072627/000143774925022212/0001437749-25-022212-index.htm
- EDGAR primary document: https://www.sec.gov/Archives/edgar/data/1072627/000143774925022212/kfs20250703_8k.htm

## Machine-readable alternates
- HTML: https://secwatch.observer/filing/0001437749-25-022212
- JSON: https://secwatch.observer/filing/0001437749-25-022212.json
- Plain text: https://secwatch.observer/filing/0001437749-25-022212.txt

## Key facts
- Debt Financings
  KINGSWAY FINANCIAL SERVICES INC incurred credit facility of $11 million term loan plus $500,000 revolving credit facility plus $750,000 equipment loan with Main Street Bank at Term Loan: 1-month Term SOFR Rate plus 3.30% (min 5.00%); Revolver: Wall Street maturing ten year term loan.
  - Instrument: credit facility
  - Principal: $11 million term loan plus $500,000 revolving credit facility plus $750,000 equipment loan
  - Counterparty: Main Street Bank
  - Rate: Term Loan: 1-month Term SOFR Rate plus 3.30% (min 5.00%); Revolver: Wall Street
  - Maturity: ten year term loan
  - Event: incurrence
  source text: On July 1, 2025, Kingsway Buyer and Roundhouse (collectively, " Borrowers ") entered into a new secured term credit facility (together with the term loan note and revolving demand line of credit note, the " Credit Agreement ") with Main Street Bank as lender (" Lender "). The new facility comprises a ten year $11 million term loan (the " Term Loan "), a revolving credit facility of up to $500,000 (the " Revolver ") and a non-revolving equipment guidance line of credit facility of up to $750,000 (the " Equipment Loan ").
  evidence_url: https://www.sec.gov/Archives/edgar/data/1072627/000143774925022212/0001437749-25-022212-index.htm

This AI-assisted summary is a reading aid. Review the linked SEC EDGAR filing before relying on any specific claim.