merger deal next month.

Financial Security Assurance Holdings Ltd. (FSA Holdings: NYSE: FSA), holding company for US-based bond insurer Financial Security Assurance Inc. (FSA), yesterday announced that it expects to close its merger with a Dexia subsidiary on Wednesday, July 5.

FSA Holdings stockholders will receive $76.00 in cash for each share of FSA Holdings common stock owned by them.

Dexia is a leading banking group in Europe, with three main operating units: Dexia Credit Local de France and its international arm Dexia Project and Public Finance International Bank; Dexia Bank; and Dexia Banque Internationale a Luxembourg (Dexia-BIL). FSA will operate as a separately capitalised wholly-owned subsidiary of Dexia with Aaa/AAA/AAA claims-paying ratings.

FSA guarantees scheduled payments of principal and interest on municipal bonds and asset-backed securities.

Headquartered in New York, FSA has offices in San Francisco and Dallas.

It also has a London-based UK subsidiary, Financial Security Assurance (UK) Limited; a Bermuda-based subsidiary, Financial Security Assurance International Ltd.; and representative offices in Madrid, Paris, Sydney, Singapore and Tokyo.