Company: KG
Filing Date: 2025-03-26
Form Type: 424B3
Source: 0001104659-25-028251
Chunk: 618

Company: Kestrel Group Ltd
Filing Date: 2025-03-26
Form: 424B3
Chunk 618
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co Ltd, a wholly owned subsidiary of Parent (“ Bermuda NewCo ”), Ranger Merger Sub 2 LLC, a wholly owned subsidiary of Bermuda NewCo (“ US Merger Sub ”), Kestrel Group LLC (the “ Company ”) and the equityholders of the Company (the “ Company Equityholders ”), pursuant to which, among other things, (i) at the Company Contribution Effective Time (as defined in the Combination Agreement), the Company Equityholders will contribute all of the Class A Units and Class B Units of the Company (collectively, the “ Company Units ”) to US NewCo (the “ Company Contribution ”) in exchange for (A) $40,000,000 in cash (the “ Company Closing Cash Consideration ”), (B) fifty five million (55,000,000) (the “ Company Closing Interests ”) common limited liability company interests of US NewCo (the “ US NewCo Interests ”), each of which shall be automatically canceled and converted into the right to receive an issuance from Bermuda NewCo of one (1) duly authorized, validly issued, fully paid and nonassessable Bermuda NewCo Share (as defined in the Combination Agreement, and such Bermuda Newco Shares, the “ Second Merger Consideration ”) and (C) additional contingent consideration (the “ Earnout ”) payable in up to $45,000,000 of common shares of Bermuda NewCo Shares , contingent upon the Company exceeding certain performance thresholds (the “ Earnout Shares ”, and collectively with the Company Closing Cash Consideration and the Second Merger Consideration, the “ Consideration ”). Following the Company Contribution, at the First Merger Effective Time (as defined in the Combination Agreement), Bermuda Merger Sub will merge with and into Parent, with Parent surviving the merger as a wholly owned subsidiary of US NewCo, and each common share, par value $0.01 per share, of Parent (“ Parent Shares ”) will be cancelled and converted into the right to receive one US NewCo Interest, and the US NewCo Interests directly held by Parent will be surrendered for no consideration, and at the Second Merger Effective Time (as defined in the Combination Agreement), US Merger Sub will merge with and into US NewCo, with US NewCo surviving the merger as a wholly owned subsidiary of Bermuda NewCo, and each US NewCo Interest will be cancelled and converted into the right to receive one Bermuda NewCo Share, and the Bermuda NewCo Shares directly held by Parent