Hagerty, Inc. (NYSE: HGTY) said that shares of its common stock and warrants will begin trading today on the New York Stock Exchange under ticker symbols HGTY and HGTY.WS, respectively. This results from the completion of the Company’s previously announced business combination with Aldel Financial Inc., a publicly traded special purpose acquisition company. Aldel shareholders approved the business combination at a special meeting held on December 1. Hagerty executives will ring the bell to open the trading day at the New York Stock Exchange on Monday 6 December 2021.
The transaction values Hagerty* at a pro forma enterprise of, gulp, ~$3.1 billion. Net proceeds of ~$265 million, it’s claimed, will be used to advance Hagerty’s growth. Hagerty is self-described as an automotive lifestyle brand and a leading specialty insurance provider focused on the global automotive enthusiast market. The firm has been close to the automotive Concourse scene with financial support, particularly in the US. It also sponsors classic car ride-and-drives associated with classic auto shows or events.
McKeel Hagerty, the Company’s CEO, said, “Today is a milestone for Hagerty… We have built the Company to optimize growth across the vast automotive enthusiast market, which today stands strong at an estimated 69 million enthusiasts in the U.S. alone. Our goal is not only to provide car lovers with great insurance but to help them connect with one another and have fun with their cars.”
*Hagerty is a provider of specialty automotive insurance with approximately 2 million cars insured globally, an industry-leading 84 Net Promoter Score (NPS) and partnerships with nine of the top 10 U.S. automotive insurers.
Hagerty’s self-written business model integrates omni-channel distribution, risk management & reinsurance, and subscription & membership for multiple revenue streams. Haggerty claims its omni-channel insurance distribution model positions it to scale through national insurance partners, local agents and brokers, and direct distribution. The Company’s portfolio includes Hagerty Drivers Club (1.8 million members), Hagerty Drivers Club magazine (1.2 million readership), Hagerty YouTube (1.75 million subscribers), three major concours events, a nationwide collection of premium social and car storage membership facilities called Hagerty Garage + Social, and DriveShare, a peer-to-peer service that lets people rent vintage and trendy cars.