A spokeswoman says Michigan Gov. Jennifer Granholm is expected to sign legislation that would make it tougher for San Antonio-based Biglari Holdings Inc. to take over a west Michigan insurance company.
The legislation given final approval on a 28-8 Senate vote Tuesday requires that a perceived hostile takeover of a small insurer be approved by two-thirds of the shareholders of the targeted company, rather than by a simple majority.
It’s a narrowly tailored bill designed to protect Fremont Michigan InsuraCorp from a takeover.
Lawmakers worry that Biglari, formerly Steak n Shake Co., would dismantle Fremont or move its 75 employees out-of-state.
Biglari says it doesn’t intend to break up or move Fremont. The company says the legislation dilutes shareholder rights.
Topics Legislation Michigan
Was this article valuable?
Here are more articles you may enjoy.
Trump Says Illegal Immigration Increased Car Insurance but Experts Say Otherwise 
‘We’ll Want Some Proof’: State Farm CEO’s Take on NY Auto Insurance Reforms 
Need Wind Mitigation? New Florida Insurer Wants to Help With That 
US P/C Rebounds to Post Q1 Underwriting Gain; Net Income Doubles 
