July 20, 2016
Willkie advises MLMIC in its sponsored demutualization and acquisition by National Indemnity Company, a subsidiary of Berkshire Hathaway, Inc.
On July 18, Willkie client Medical Liability Mutual Insurance Company (MLMIC), the largest underwriter of medical professional liability insurance in New York, announced that it has entered into a definitive agreement, pending regulatory and policyholder approval, to be acquired by National Indemnity Company, following the completion of the conversion of MLMIC to a stock company from a mutual company. National Indemnity Company is a subsidiary of Berkshire Hathaway Inc., one of the world’s leading insurance organizations. The transaction is expected to close in the third quarter of 2017, subject to customary closing conditions and regulatory approvals. The purchase price is expected to be approximately $1.9 billion.
Berkshire Hathaway CEO Warren Buffett stated “MLMIC is a gem of a company that has protected New York’s physicians, mid-level providers, hospitals and dentists like no other for over 40 years. We welcome the chance to add them to the Berkshire Hathaway family and enhance their capacity to serve these and other policyholders for many years to come.”
The deal team is being led by senior counsel Donald Henderson and associate Bhavna Agnihotri. Partner Allison Tam and associate Yevgeniy Markov are advising on regulatory matters. Senior counsel Richard Reinhold and counsel Catherine Harrington are providing tax advice.
