On July 7, 2025, Ambac Financial Group, Inc. announced an extension of the stock purchase agreement for the sale of its legacy financial guarantee businesses to funds managed by Oaktree Capital Management, L.P. The term of the agreement, which covers Ambac Assurance Corporation (AAC) and Ambac UK (AUK) for $420 million in cash, was extended from July 3, 2025, to December 31, 2025.
Both Ambac and Oaktree reaffirmed their full commitment to closing the transaction, with Oaktree continuing to work with the Wisconsin Office of the Commissioner of Insurance (OCI) to satisfy the remaining closing conditions and obtain final regulatory approval. This extension indicates ongoing regulatory complexities despite the parties' commitment.
In addition to the extension, Ambac and Oaktree agreed to a conversion right for the warrant Oaktree will receive at closing. They also finalized arrangements regarding Ambac’s existing lease obligations and the treatment of certain expenses allocated to AAC prior to the transaction's close, providing further details on the deal's structure.
The content on BeyondSPX is for informational purposes only and should not be construed as financial or investment advice. We are not financial advisors. Consult with a qualified professional before making any investment decisions. Any actions you take based on information from this site are solely at your own risk.