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WESTBRIDGE CAPITAL TO ACQUIRE TWO HEALTH INSURERS

 FORT WORTH, Texas, Dec. 7 /PRNewswire/ -- Westbridge Capital Corp. (AMEX: WBC) said today that it had signed an agreement to acquire National Financial Insurance Company and American Insurance Company of Texas, two affiliated, privately owned health insurers whose principal assets consist of closed blocks of health insurance policies totaling $50 million in annualized premiums. The purchase price is $20 million in cash, subject to certain adjustments. Completion of the transaction is contingent on the availability of adequate financing and regulatory approval.
 The Company further reported that it had retained Oppenheimer & Co. to place $25 million of convertible preferred stock to finance the transaction and for other corporate purposes. Although this financing, if successful, may result in the issuance of a significant amount of new capital stock, Westbridge nevertheless expects that the acquisition will increase its fully diluted per share earnings. Additionally, consolidation of the acquired companies is expected to have a positive impact on overhead utilization, the Company noted.
 Separately, Westbridge announced that it recently acquired a 50% interest in Senior Benefit Plans, a small Scottsdale, Ariz., marketing concern specializing in Medicare Supplement insurance. An expansion of Senior Benefit's operation to 15 southwestern and Midwestern states is planned, Westbridge said.
 Last month Westbridge Capital reported net earnings of $893,000, equal to $.20 per share, for the third quarter and $2,398,000, or $.53 per share, for the first nine months of 1993. This compared with net earnings of $469,000, equal to $.11 per share, and $1,117,000, or $.26 per share, (excluding a one-time gain resulting from the adoption of FAS 109), for the respective 1992 periods.
 The Company pointed out that 1993 results to date benefited from the acquisition of the Medicare Supplement businesses of The American Integrity Insurance Company and Life and Health Insurance Company of America in September 1992 and March 1993, respectively.
 -0- 12/7/93
 /CONTACT: Michael C. Batte, vice president and chief financial officer of Westbridge Capital Corp., 817-878-3306/


CO: Westbridge Capital Corp; National Financial Insurance Company;
 American Insurance Company of Texas ST: Texas IN: INS SU: TNM


MP -- NY012 -- 1173 12/07/93 09:41 EST
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Publication:PR Newswire
Date:Dec 7, 1993
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