secwatch.observer — SEC 8-K summary
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Issuer:     Hagerty, Inc. (HGTY)
CIK:        0001840776
Form:       8-K
Filed at:   2023-06-23T23:59:59+00:00
Accession:  0001840776-23-000126
Event type: other_material
Sentiment:  positive
Materiality: 0.80
Item codes: 1.01, 3.02, 3.03, 5.03, 7.01, 9.01
LLM model:  deepseek-v4-flash:cloud@v2

Hagerty raises $105M via convertible preferred equity and debt from State Farm, Markel, Hagerty family
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- Closed $80M Series A Convertible Preferred Stock at $9.43/share (8.48M shares) to accredited investors State Farm, Markel Group, and Hagerty family trusts.
- Secured $25M unsecured term loan commitment from State Farm for Hagerty Reinsurance Limited, subject to Bermuda Monetary Authority approval.
- Proceeds to support profitable growth: expand risk appetite, enhance core insurance product, and invest in technology for efficiencies.
- Series A preferred pays 7% cumulative dividend (cash or PIK), converts at $11.79/share, with redemption triggers at 120% to 100% of purchase price over 10 years.
- Both State Farm and Markel are existing >5% stockholders; State Farm plans to launch commercial relationship with Hagerty.

Source:
  EDGAR index:    https://www.sec.gov/Archives/edgar/data/1840776/000184077623000126/0001840776-23-000126-index.htm
  Primary doc:    https://www.sec.gov/Archives/edgar/data/1840776/000184077623000126/hgty-20230623.htm
  HTML page:      https://secwatch.observer/filing/0001840776-23-000126

License: Source filings: public domain (SEC EDGAR). Summaries (headline + bullets): CC-BY-4.0; attribute https://secwatch.observer