ProAssurance To Buy Eastern Insurance Holdings - Quick Facts

(RTTNews) - ProAssurance Corp. (PRA) and Eastern Insurance Holdings Inc. (EIHI) announced that Eastern Insurance Holdings will merge with a newly formed subsidiary of ProAssurance in an all-cash transaction that values Eastern at $24.50 per share, or in aggregate, approximately $205 million. Eastern will become a wholly-owned subsidiary of ProAssurance.

ProAssurance will maintain Eastern's corporate office in Lancaster, Pennsylvania and its existing regional and satellite offices under the direction of its current President and Chief Executive Officer, Michael Boguski and his management team.

The transaction is subject to customary conditions, including regulatory and Eastern shareholder approval. Shareholder approval is not required for ProAssurance.

Eastern said it will pay previously announced September quarterly dividend of $0.11 per share and will be permitted to pay an additional $0.11 per share dividend if ProAssurance has not received regulatory approval for the transaction by December 31, 2013.