A major takeover is on the horizon in the specialty insurance market.
Zurich Insurance wants to buy the British insurer Beazley and has improved its offer immediately after the first attempt. The Swiss are offering 1280 pence per share – a premium of 56% on the last share price before the bid was announced – which corresponds to a valuation of $10.3 billion for the company.
Both insurers are major players in marine insurance. Zurich wants to use Beazley to expand its specialty line (cyber, energy, art, political risks, shipping, etc.) and become the new market leader in this segment with a combined premium volume of $15 billion.
Beazley is one of the world’s leading players in the marine hull sector. According to Reuters, the British company is involved in cover for 20% of the global fleet.
