AmTrust Financial Services Inc., an insurer, said Friday that it has completed its $88.7 million acquisition of The Insco Dico Group.
The acquisition will help AmTrust move into the U.S. surety bond market, the company said. Surety bonds are a type of insurance where one party guarantees to a third party that they will perform a contract to completion. They are used by contractors and banks, for example.
"As the improving trends in the economy and housing market continue, we expect the demand for Insco Dico's surety bonds will increase, providing additional value to AmTrust and its shareholders," said AmTrust's CEO and President Barry Zyskind, in a statement.
Shares of the New York-based AmTrust rose 72 cents, or 2.2 percent, to $33.84 in morning trading Friday.