The Dynamic Dividend

Nationwide to Acquire Dividend Growth Star Harleysville

Harlesyville Group (HGIC), which just last month raised its dividend for the 25th consecutive year, announced this morning that it has agreed to be acquired by Nationwide Mutual Insurance Company.

Though shareholders will miss the consistent dividend growth — Harleysville has improved its dividend output every year dating back to 1987 — they’re sure to be consoled by the huge premium Nationwide has agreed to pay. The deal has Nationwide acquiring shares of HGIC for $60.00 a pop — that’s 90% higher than yesterday’s closing price, and 137% higher than the $26.33 shares were trading at before rumors of the deal began surfacing last week.

Shares of HGIC have predictably popped to just below the acquisition price.

Only 100 publicly-traded companies have improved their dividend output every year dating back to 1987. With Harleysville soon coming off the board, that number will obviously shrink to 99. For an organized list of stocks with at least a decade of dividend growth, check out the Dividend Dynamos.