Concert Group rejects shareholder lawsuit as ‘wholly without merit’

Concert Group Holdings has responded to a legal action brought against the company and certain shareholders, describing it as “wholly without merit.”

Concert noted that Freedom Underwriters, one of Concert’s founding shareholders, has filed an action seeking “declaratory and injunctive relief” in the Delaware Court of Chancery against the company and its other founding shareholders (WT Holdings, Inc. and Century Focused Fund). The filing arises from a dispute over the agreement that governs the company’s shareholders.

Concert Group provided no details of the exact nature of the dispute.

“Since its launch in 2021, Concert management has developed the company into an efficient and responsive hybrid fronting carrier with controlled growth, solid performance and a promising future,” said Concert chief executive John Hendrickson (pictured). “As we began to implement a strategic plan for Concert’s next five years of growth, we have sought to achieve alignment amongst the shareholders to allow management to deliver on Concert’s goals and objectives.

“We sincerely regret that Freedom has chosen the path of litigation to resolve this matter. We believe their action is not a good use of Concert’s or the shareholders’ resources, is wholly without merit and that Concert will be validated by the court in this matter.

“In the meantime, we will continue to provide the superior customer experience our business partners have come to rely on as well as a rewarding environment for our employees and a profitable, sustainable future for all Concert shareholders.”

Concert Group is a privately owned insurance holding company, which, through its wholly owned subsidiaries, Concert Insurance Company and Concert Specialty Insurance Company, offers insurance fronting and related services in the United States.

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