TORONTO, June 22, 2018 (GLOBE NEWSWIRE) -- Crosswinds Holdings Inc. (“Crosswinds” or the “Company”) (TSX:CWI) today announced an update on its previously disclosed assessment of strategic alternatives.
As the majority of the Company’s assets are now in cash, the Company’s Board of Directors (the “Board”) has been reviewing available investment opportunities against other strategic alternatives including, without limitation, a return of capital or other monetization event.
The Board has unanimously resolved, having regard to the Company’s available resources and opportunities, that it is in the best interests of the Company to distribute all of its available capital (less a reasonable reserve for liabilities and contingencies) to shareholders and dissolve the Company (the “Monetization Event”). The Company will continue to consider alternative opportunities that may become available as the process continues.
The Company intends to hold a special shareholder meeting in the third quarter to seek approval for the Monetization Event. There can be no assurance that shareholder approval will be received.
The Company also announced that its wholly-owned subsidiary, Crosswinds Re, reviewed available reinsurance opportunities for the 2018 wind season and determined that those opportunities presented to date did not meet its risk-return criteria. As a result, Crosswinds Re has not written any reinsurance business. If the Monetization Event is approved, Crosswinds Re would also be dissolved.
Crosswinds Holdings Inc.
Crosswinds is a publicly traded private equity firm and asset manager that has been targeting strategic and opportunistic investments in the financial services sector with a particular focus on the insurance industry.
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