Icahn Discloses 9.4% Stake In AmTrust Financial, Opposes Go-private Deal

(RTTNews) - AmTrust Financial Services Inc. (AFSI) jumped almost 6 percent in after-hours trading on Thursday after billionaire Carl Icahn disclosed about 9.4 percent stake in the company and said he planned to oppose its plans to go private.

"I am strongly against the proposed going-private transaction and intend to solicit proxies against the deal," Icahn wrote in a letter to AmTrust's board.

Icahn said in the letter that the Karfunkel and Zyskind families, which control the New York company, are "blatantly taking advantage" of its minority shareholders. Icahn said the company's board should push back a shareholder vote on its $2.7 billion going-private deal. The vote is currently scheduled for June 4.

The going-private deal would sell the company to AmTrust Chairman and Chief Executive Barry Zyskind, the Karfunkel family and private-equity firm Stone Point Capital LLC.

AFSI closed Thursday's regular trading at $13.43, up $0.08 or 0.60%. In the after-hours trade, the stock further gained $0.78 or 5.81 percent.