Vericity, Inc. (NASDAQ:VERY) shares popped Tuesday after iA Financial Group announced it will acquire the company.

What To Know: iA American Holdings, Inc. will acquire Vericity in an all-cash transaction valued at approximately $170 million which is expected to close in the first half of 2024. At the closing of the merger, each issued and outstanding share of Vericity common stock will be converted into the right to receive $11.43 in cash.

James Hohmann, Vericity's CEO, said, "This is an exciting transaction that we believe offers compelling value for all of our stockholders and reflects the strength of our business. We look forward to accelerating our strategic advancement within iA as we further grow the eFinancial platform, the business overall, and create new opportunities for our people and the franchise."

Shares of Veracity soared Tuesday on news of the acquisition on high trading volume. According to data from Benzinga Pro, the stock experienced above-average trading volume of 154,080 shares compared to its average volume of 2,566.

VERY Price Action: Shares of VERY were up 94.2% at $11.07 at the close of the market, according to Benzinga Pro.

Image by Gerd Altmann from Pixabay

Why Vericity Stock Surged Today