Summary
The Hartford Financial Services Group, Inc. (HIG) filed an 8-K on March 16, 2010, to disclose a material definitive agreement entered into on March 13, 2010, with Allianz SE. This agreement, a letter agreement, amends terms related to warrants previously issued under an Investment Agreement from October 17, 2008. Specifically, the new agreement clarifies anti-dilution adjustments for Series B and Series C Warrants in connection with The Hartford's proposed offering of Series F Preferred Stock. Allianz SE has also provided its consent to this preferred stock offering and a concurrent common stock offering, waiving its right to participate in both. This filing is important for investors as it addresses potential dilution and secures necessary approvals for significant capital-raising activities.
Key Highlights
- 1The Hartford entered into a material definitive agreement (Letter Agreement) with Allianz SE on March 13, 2010.
- 2The agreement modifies terms related to The Hartford's Series B and Series C Warrants.
- 3It clarifies anti-dilution adjustments for these warrants in light of a proposed Series F Preferred Stock offering.
- 4Allianz SE has consented to The Hartford's proposed Series F Preferred Stock offering.
- 5Allianz SE has also consented to a concurrent common stock offering by The Hartford.
- 6Allianz SE waived its right to participate in both the Series F Preferred Stock and the concurrent common stock offerings.
- 7The agreement is tied to a prior Investment Agreement between the two companies dated October 17, 2008.