Company: KG
Filing Date: 2025-11-05
Form Type: 10-Q
Source: 0001628280-25-049606
Chunk: 224

Company: Kestrel Group Ltd
Filing Date: 2025-11-05
Form: 10-Q
Item: Item 8
Chunk 224
---
,534)Kestrel Group Ltd share price$23.00 Equity portion of consideration transferred to Maiden Reinsurance$(51,463)Net equity portion of consideration transferred at Closing$114,634 Cash consideration paid to shareholders at Closing for fractional shares1 Portion of the Maiden awards attributable to pre-combination service514  Intercompany settlement 388 Total consideration effectively transferred$115,537 

 51

KESTREL GROUP LTD NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Unaudited)(in thousands of U.S. dollars, except share and per share data)

15. Business Combination (continued)Estimated Purchase Price AllocationThe following table summarizes allocation of the estimate of the purchase price to the assets acquired and liabilities assumed as of May 27, 2025:Fixed maturities, available-for-sale, at fair value$208,855 Equity securities, at fair value11,144 Equity method investments32,326   Other investments160,439   Cash and cash equivalents68,358   Restricted cash and cash equivalents11,449   Accrued investment income4,108 Reinsurance balances receivable, net10,133 Reinsurance recoverable on unpaid losses517,028   Net loan receivable from related party107,110 Intangible assets11,864 Funds withheld receivable11,048   Other assets19,876 Assets held for sale20,698 Reserve for loss and loss adjustment expenses(738,137)Unearned premiums (23,903)Accrued expenses and other liabilities(68,453)   Senior notes - at fair value(173,669)Liabilities held for sale(1,147)Net assets189,127 Bargain purchase gain(73,590)Total consideration effectively transferred$115,537 At the closing date on May 27, 2025, the fair value of Maiden's net assets acquired were $189,127 which exceeded the consideration effectively transferred of $115,537, resulting in a bargain purchase gain of $73,590 as shown in the table above. This gain was recognized immediately in the condensed consolidated statement of income of Kestrel for the nine months ended September 30, 2025.As discussed in Note 11. Commitments,  Contingencies and Guarantees, Kestrel Equityholders are entitled to receive in contingent consideration up to the lesser of (x) an