Citizens acquires Mississippi insurance firm

Oct 8, 2013
Austin Business Journal

Security Plan Life Insurance Co., a unit of Citizens Inc. (NYSE: CIA) has signed an agreement to acquire Magnolia Guaranty Life Insurance Co. of Ridgeland, Miss., in a deal valued at $5.23 million


Magnolia Guaranty, which had assets of $8 million and annual premiums worth $2.14 million as of Dec. 31, 2012, specializes in the sale of final expense and pre-need life insurance policies in Mississippi through funeral home distribution channels, Austin-based Citizens said in a statement


The deal, subject to approval by Magnolia shareholders and regulatory approvals, is expected to close during the fourth quarter


In August, Citizens reported second-quarter profit of $1.3 million on revenue of $53.6 million compared with a profit of $403,000 on revenue of $49.6 million during the same period last year


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