Reliance Global completes sale of EBS, USBA subsidiaries

Reliance Global (RELI) Group finalized the sale of two of its subsidiaries, Employee Benefits Solutions and U.S and Benefits Alliance, two non-core agencies located in Cadillac, Michigan. The transaction is part of a comprehensive balance sheet rationalization program, intended to enhance the Company’s ability to execute on new initiatives. Overall, the Company has been engaged in a strategy to focus efforts on areas that the Company believes will produce better outcomes. Since acquiring U.S. Benefits Alliance and Employee Benefits Solutions in 2019, Reliance has selectively integrated portions of the businesses that aligned with its long-term, technology-forward strategy into its core RELI Exchange platform. The transaction reflects the sale of only the remaining non-core components of those businesses, while the strategic elements previously integrated into Reliance’s core operations remain part of the Company’s ongoing growth initiatives. The Company will use 50% of the net proceeds to reduce debt and the balance will be reinvested in strategic business initiatives.