HCI Group’s 4.75% Convertible Senior Notes Due 2042 Became Convertible on January 1, 2025

Core Viewpoint - HCI Group, Inc. has announced that its 4.75% Convertible Senior Notes Due 2042 became convertible by all holders starting January 1, 2025, due to the company's stock price exceeding the conversion price threshold [1][2]. Group 1: Convertible Notes Details - The Notes became convertible because HCI's closing share price was greater than 130% of the Conversion Price of $80.54 for 20 trading days during the last 30 trading days of the quarter ending December 31, 2024 [2]. - Holders wishing to convert their Notes into HCI common stock must provide a Notice of Conversion, with HCI planning to select Physical Settlement for conversions received by March 31, 2025, at a conversion ratio of approximately 12.4166 shares per$1,000 principal amount of Notes [3]. - HCI is considering a full redemption of the Notes on June 5, 2025, if certain conditions are met, including the stock price being at least 130% of the Conversion Price for 20 trading days within any 30 consecutive trading day period [4]. Group 2: Company Overview - HCI Group, Inc. operates in various sectors including homeowners insurance, information technology services, real estate, and reinsurance, with its leading insurance operation being TypTap Insurance Company [5]. - TypTap Insurance Company is a technology-driven homeowners insurance provider, leveraging insurance-related IT developed by HCI's software subsidiary, Exzeo USA, Inc. [5]. - HCI's largest subsidiary, Homeowners Choice Property & Casualty Insurance Company, primarily provides homeowners insurance in Florida, while its real estate subsidiary, Greenleaf Capital, LLC, manages multiple properties in Florida [5].