Ambac Financial Group, Inc. entered into a share purchase agreement to acquire 60% stake in Beat Capital Partners from Bain Capital Credit, LP and Beat's management team for approximately $280 million.

Ambac Financial Group, Inc. (NYSE:AMBC) entered into a share purchase agreement to acquire 60% stake in Beat Capital Partners from Bain Capital Credit, LP and Beat's management team for approximately $280 million on June 4, 2024. Up to $40 million of $282 million will be paid in shares of Ambac common stock. Beat?s management team and Bain Capital Credit LP will each retain approximately 20% of Beat?s issued share capital immediately after closing.

The transaction will be financed from available cash and committed financing. The purchaser entered into a debt commitment letter pursuant to which UBS AG, Stamford Branch and UBS Securities LLC have committed to provide to the purchaser a term loan of up to $150 million under a 364-day senior secured bridge facility. The transaction is expected to close in the third quarter of 2024.

The closing of the Beat Transaction is subject to certain closing conditions, including receipt of specified regulatory approvals or confirmation of no objection from the Council of Lloyds, Bermuda Monetary Authority and the Texas Department of Insurance, as applicable. Geoffrey Burgess, Clare Swirski, Spencer Gilbert, Sam Whitaker, Meir Katz, Sunil W. Savkar, Christine Shu Gilleland, Eric T. Juergens, Steven Slutzky, Rafael Kariyev, Richard Ward, Ben Lee Friedman, Jenny Wheater, Caroline Geiger, Timothy McIver, Anne-Mette Heemsoth, Johanna Skrzypczyk and Robert Maddox of Debevoise & Plimpton LLP acted as legal advisor for Ambac Financial Group, Inc. Evercore Inc. acted as financial advisor for Beat Capital Partners. UBS Investment Bank acted as financial advisor for Ambac Financial Group, Inc. Reynolds Porter Chamberlain acted as legal advisor for Beat Capital Partners and Bain Capital Credit, LP.