Company: KG
Filing Date: 2025-03-10
Form Type: S-4
Source: 0001104659-25-021993
Chunk: 295

Company: Kestrel Group Ltd
Filing Date: 2025-03-10
Form: S-4
Chunk 295
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 1,705,786 | ​ | ​ |
| Accrued compensation                                                                 | ​ | ​ | ​    | ​ |    -75,505 | ​ | ​ | ​ | ​    | ​ |    -33,003 | ​ | ​ |
| Operating lease liabilities                                                          | ​ | ​ | ​    | ​ |    -69,885 | ​ | ​ | ​ | ​    | ​ |    -64,482 | ​ | ​ |
| Net cash used in operating activities                                                | ​ | ​ | ​    | ​ | -1,266,841 | ​ | ​ | ​ | ​    | ​ | -2,485,329 | ​ | ​ |
| Net decrease in cash and cash equivalents                                            | ​ | ​ | ​    | ​ | -1,266,841 | ​ | ​ | ​ | ​    | ​ | -2,485,329 | ​ | ​ |
| Cash and Cash Equivalents Balance, Beginning of Year                                 | ​ | ​ | ​    | ​ |  5,553,121 | ​ | ​ | ​ | ​    | ​ |  8,038,450 | ​ | ​ |
| Cash and Cash Equivalents Balance, End of Year                                       | ​ | ​ | ​    | $ |  4,286,280 | ​ | ​ | ​ | ​    | $ |  5,553,121 | ​ | ​ |

**See accompanying notes to these Consolidated Financial Statements F-6

TABLE OF CONTENTS

Note 1: Nature of Operations, Basis of Presentation and Pending Merger Agreement**

### Nature of Operations
Kestrel Group, LLC (the “Company”), a Delaware-based limited liability company, specializes in providing services to insurance program managers, Managing General Agents (MGAs), reinsurers, and reinsurance brokers. The Company facilitates fronting insurance transactions utilizing its exclusive management contracts with four insurance carriers. These contracts enable the Company to offer both admitted and surplus lines, all of which have been rated “Excellent” by AM Best, a leading insurance industry credit rating agency, in addition to offering established and emerging products. The Company does not assume underwriting risks; instead, it earns a fee for granting access to these carriers. The Company produces lines that insure casualty, workers’ compensation, catastrophe-exposed property, and non-catastrophe-exposed property, with diverse risk durations, sizes, and product types, all within the United States. The Company is headquartered