H.I.G. Capital Noticias
H.I.G. Capital, L.L.C.
1001 Brickell Bay Drive
Miami, FL 33131
H.I.G. Capital Completes Acquisition of Warrantech Corporation
MIAMI - January 31, 2007 - H.I.G. Capital, a leading Miami-based private equity firm, announced today that it has completed the acquisition of Warrantech Corporation (OTCBB: WTEC), acquiring all outstanding shares of Warrantech in a cash merger for $0.75 per share. H.I.G. Capital partnered with AmTrust Financial Services, Inc. (NASDAQ:AFSI), a multinational specialty property and casualty holding company, to finance the transaction.
Headquartered in Bedford, Texas, Warrantech is a leading independent developer, marketer and third party administrator of service contracts and after-market warranties primarily for the motor vehicle and consumer products industries. For more than two decades, Warrantech has provided innovative solutions to manufacturers, retailers, dealers, distributors and other sales organizations who seek increased profitability, enhanced market differentiation and long-term customer loyalty.
Warrantech's products are proven performers in the marketplace and are well regarded among agents, dealers, financial institutions and consumer focused retailers nationwide. The Company boasts an established network of some 100 independent automotive field agents and over 1,200 dealers across the U.S. The Company's reach extends to Canada, Puerto Rico and Latin America.
Doug Berman, Managing Director of H.I.G. Capital, said," We are extremely excited to be investing in Warrantech. We believe Warrantech is focused and well positioned to capitalize on its best-in-class operating platform and organizational capabilities to deliver world-class customer service and value".
About Warrentech Corporation
Warrantech Corporation administers and markets service contracts and after-market warranties on automobiles, automotive components, recreational vehicles, appliances, consumer electronics, homes, computers and computer peripherals for retailers, distributors and manufacturers. The Company continues to expand its domestic and global reach, and now provides its services in the United States, Canada, Puerto Rico and Latin America. For additional information on Warrantech, please visit our website at www.warrantech.com.
About H.I.G. Capital
H.I.G. Capital LLC ("H.I.G.") is a leading private equity and venture capital investment firm with more than $3.5 billion of equity capital under management. Based in Miami, and with offices in Atlanta, Boston, and San Francisco, H.I.G. specializes in providing capital to small and medium-sized companies with attractive growth potential. H.I.G. invests in management-led buyouts and recapitalizations of profitable and well managed manufacturing or service businesses. H.I.G. also has extensive experience with financial restructurings and operational turnarounds. Since its founding, H.I.G. has completed more than 75 transactions. The firm currently manages a portfolio of more than 40 companies with combined revenues in excess of $7 billion. For more information, please visit the H.I.G. website at http://www.higcapital.com.