§232.7. Sale of stock
An intermediate holding company established and an insurance company reorganized
pursuant to R.S. 22:231 may issue stock to any persons legally permitted to own stock,
provided that the mutual insurance holding company at all times owns either directly or
indirectly a majority of the voting shares of the capital stock of the reorganized insurance
company as required by R.S. 22:232.4. Except with respect to stock issued directly or
indirectly for ownership by the mutual insurance holding company, the reorganized insurance
company or the intermediate holding company shall, prior to the initial issuance of stock,
obtain a fairness opinion with respect to the value of the stock to be issued from an
investment banking organization with experience and established credentials in the
evaluation of insurance organizations. No solicitation for the sale of the stock of an
insurance company reorganized pursuant to R.S. 22:231 or the intermediate holding company
established pursuant to R.S. 22:231 may be made except in accordance with the provisions
of R.S. 22:88.
Acts 1997, No. 1482, §1; Redesignated from R.S. 22:1004.7 by Acts 2008, No. 415,
§1, eff. Jan. 1, 2009; Acts 2009, No. 503, §1; Redesignated from R.S. 22:701 by Acts 2012,
No. 294, §3; Acts 2022, No. 161, §1.