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Kingsway Financial Completes Acquisition of Roundhouse Electric

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Kingsway Financial Completes Acquisition of Roundhouse Electric

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The latest update is out from Kingsway Financial Services ( (KFS) ).

On July 1, 2025, Kingsway Financial Services Inc., through its subsidiary Longhorns Acquisition LLC, completed the acquisition of Roundhouse Electric & Equipment Co., Inc., a Texas corporation. The transaction involved a combination of cash and debt financing, with Kingsway granting rollover phantom equity rights valued at approximately $3.5 million and paying cash consideration based on an enterprise valuation of $22.35 million. This strategic acquisition is expected to enhance Kingsway’s market position and operational capabilities in the electric equipment industry. Additionally, Kingsway and Roundhouse entered into a new secured term credit facility with Main Street Bank, comprising a $11 million term loan, a revolving credit facility, and a non-revolving equipment guidance line of credit, which will support the financial structuring of the acquisition.

Spark’s Take on KFS Stock

According to Spark, TipRanks’ AI Analyst, KFS is a Neutral.

Kingsway Financial Services’ overall stock score is primarily influenced by its financial performance challenges, including high leverage and negative cash flows. While technical analysis shows bullish momentum, the valuation metrics and earnings call present a mixed picture, with strategic growth offset by profitability issues.

To see Spark’s full report on KFS stock, click here.

More about Kingsway Financial Services

Average Trading Volume: 66,780

Technical Sentiment Signal: Buy

Current Market Cap: $478.4M

Find detailed analytics on KFS stock on TipRanks’ Stock Analysis page.

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