The merger between PMA Capital Corporation (NASDAQ: PMACA) and Old Republic International Corporation (NYSE: ORI) closed early this morning. Attorneys at Ballard Spahr represented longtime client PMA in the $365 million deal, in which Old Republic acquired all of PMA's outstanding common stock.

PMA shareholders received 0.55 shares of Old Republic common stock in exchange for each share of PMA Capital common stock. The exchange ratio represented a premium of approximately 15 percent to the closing price of PMA common stock on June 8, 2010, the last trading day before the signing of the merger agreement.

PMA, which provides insurance and fee-based services, will maintain its headquarters in Blue Bell, Pa. Chicago-based Old Republic is an insurance holding company whose subsidiaries market, underwrite, and provide risk management services in the property and liability, mortgage guaranty, and title insurance fields.

Ballard Spahr has represented PMA since the company completed its initial public offering, and advised PMA in the negotiation of the agreement and plan of merger with Old Republic. Attorneys at the firm negotiated the transaction documents, and advised the company and its board on tax issues, as well as employee benefits, intellectual property, insurance, and regulatory matters.

Justin P. Klein, who led the Ballard Spahr team and heads the firm’s securities practice, said: "We were honored to assist our longstanding client PMA with this important transaction and many other transactions over the years."

Assisting Mr. Klein on the Ballard Spahr team were Jerry Guarcini, Gregory Seltzer, Brian Pinheiro, Wayne Strasbaugh, and Muhammad At-Tauhidi.