tiprankstipranks
Trending News
More News >
Advertisement
Advertisement

Reliance Global sells non-core insurance agencies to deleverage

Story Highlights
  • Reliance Global Group sold non-core EBS and USBA assets for $1.05 million in cash.
  • Proceeds will reduce debt by about $6 million and fund growth of core InsurTech platforms.
  • Looking for the best stocks to buy? Follow the recommendations of top-performing analysts.
Reliance Global sells non-core insurance agencies to deleverage

Claim 70% Off TipRanks Premium

An announcement from Reliance Global Group ( (RELI) ) is now available.

On December 23, 2025, Reliance Global Group entered into an asset purchase agreement to sell substantially all assets of its insurance brokerage and related services business operated through subsidiaries Employee Benefits Solutions, LLC and U.S. Benefits Alliance, LLC to Employee Benefit Solutions Inc. for $1.05 million in cash, with the transaction effective as of November 30, 2025 and closing on December 24, 2025. Announced on December 29, 2025, the divestiture of these Cadillac, Michigan-based non-core agencies is part of Reliance’s broader balance sheet rationalization strategy, with half of the proceeds earmarked for debt reduction and the remainder for reinvestment in its core technology platforms; management said the move has helped cut long-term debt by about $6 million, or more than 50%, and is intended to improve financial flexibility, scale its RELI Exchange and 5minuteinsure.com operations, and strengthen the company’s competitive position.

The most recent analyst rating on (RELI) stock is a Hold with a $0.57 price target. To see the full list of analyst forecasts on Reliance Global Group stock, see the RELI Stock Forecast page.

Spark’s Take on RELI Stock

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

Reliance Global Group’s overall stock score is primarily impacted by its poor financial performance, with significant challenges in revenue, profitability, and leverage. Technical analysis also indicates bearish momentum. While the earnings call and corporate events show some strategic improvements and innovation, these are not enough to offset the financial difficulties.

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

More about Reliance Global Group

Reliance Global Group, Inc. is a Nasdaq-listed InsurTech company that uses artificial intelligence and cloud-based technologies to improve efficiencies in the insurance agency and brokerage sector. Its business-to-business RELI Exchange platform provides independent insurance agencies with development tools to compete with large national players, while its consumer-facing 5minuteinsure.com site offers rapid online quotes for auto, home and life insurance; the company also operates a portfolio of retail insurance agencies across the United States.

Average Trading Volume: 1,931,802

Technical Sentiment Signal: Strong Sell

Current Market Cap: $5.18M

For detailed information about RELI stock, go to TipRanks’ Stock Analysis page.

Disclaimer & DisclosureReport an Issue

Looking for investment ideas? Subscribe to our Smart Investor newsletter for weekly expert stock picks!
Get real-time notifications on news & analysis, curated for your stock watchlist. Download the TipRanks app today! Get the App
1