Government Contract | North Dakota
Investment Valuation Services

Bid Information

Bid Alert No: 00000507465

Bid Title: Investment Valuation Services

Agency Bid No. Title: 401-16-001

Received Date: 03/11/2016

Close Date: 04/05/2016

Purchase Type: ending approximately August 31, 2016

Delivery Point:

Delivery Date: Not Stated

Special Notices: Questions Due By 03/16/2016 05:00 PM


Specifications include, but are not limited to:Overview The purchasing agency is soliciting proposals from investment valuation experts to provide valuation services related to the conversion of a North Dakota mutual insurance company to a stock insurance subsidiary whose majority stockholder is a mutual holding company and the minority stockholders are current mutual members, officers and directors of the mutual and the general public at large. The converting mutual has GAAP assets of approximately $300 million, GAAP equity of approximately $180 million and writes about $145 million of homeowners, farmowners, crop and auto business concentrated in North Dakota. The mutual holding company will retain 55% ownership of the insurance company and the remaining 45% will be sold to members, officers, directors and the general public through means of subscription rights which will be given to the members pro rata. The members have the option to take the value of the subscription rights in cash or can purchase the common stock of the insurance company. Description of Specific, Results-Oriented Tasks The investment valuation experts must: Assist the Department in reviewing the Plan of Conversion, including but not limited to, providing an opinion on the following: 1. Whether the plan will prejudice the interests of the members; 2. Whether the consideration to be paid in the aggregate is fair from a financial point of view; 3. Whether the value given to the subscription rights issued as part of the plan are reasonable based on the Black-Scholes option pricing model or another generally accepted option pricing model; and 4. Whether the plans method of allocating subscription rights is reasonable and appropriate. Perform an independent evaluation of the pro forma market value of the converted stock company in order to set the total price of the capital stock. Testify regarding specific findings resulting from work conducted for the Department. Hold status meetings with the Department and provide time reports and written status reports as required by the purchasing agency.

Product Code: 94656

Agency Information

Issuing Agency: State of North Dakota-Department of Insurance

State: North Dakota

Agency Type: State and Local

Contact: 600 East Boulevard Ave., Department 401, Bismarck, North Dakota, 58505



FREE Market Analysis

Get a FREE 90-Day Market Analysis and see the bids you’ve been missing