mergers & acquisitions

The third-party reinsurance capital and collateralized quota share reinsurance business at Sirius and White Mountains will be transferred to Chinese investment group China Minsheng Investment Corp., Ltd. as part of the sale announced recently.

Reinsurance firm PartnerRe has been downgraded by A.M. Best, who cites a lack of diversification in its business without the AXIS deal. It has also been given a negative outlook by S&P, who said the reinsurer has been distracted by the prolonged back and forth of M&A activity.

Finally it’s over. The three-way reinsurance merger and acquisitions battle between PartnerRe, AXIS Capital and Italian investment holding company EXOR S.p.A. has reached its conclusion, with EXOR coming out the winner.

Bermuda-based specialty property and casualty insurance and reinsurance firm Endurance Specialty Holdings Ltd. has now received all the required regulatory approvals for its purchase of fellow Bermudian re/insurer Montpelier Re and the transaction completes today.

Reinsurance firm PartnerRe is reported to have reached out directly to Italian investment holding group EXOR S.p.A. and is said to now be willing to negotiate directly with the Agnelli controlled group for the first time.

There are now three proxy voting advisory firms that have advised reinsurance firm PartnerRe’s shareholders not to vote for the AXIS Capital merger, explaining that the EXOR all-cash offer provides both “premium and certainty.”

AXIS Capital has again highlighted the fact that a proxy advisory firm is in favour of its proposed merger with reinsurance firm PartnerRe, but this time it hasn’t gone so far as to accuse Glass Lewis of inconsistency.

Independent proxy voting advisory firm Glass Lewis has joined ISS in telling reinsurance company PartnerRe’s shareholders it advises they vote against the merger between it and AXIS Capital.

Another day another reinsurance M&A transaction is announced. White Mountains has announced the sale of its Sirius International Insurance Group, Ltd. unit, which underwrites P&C re/insurance, to Chinese investment group China Minsheng Investment Corp., Ltd.

Insurance and reinsurance firm AXIS Capital has questioned the differences in opinion that influential proxy advisory firm Institutional Shareholder Services Inc (ISS) showed in advising its shareholders to vote for the merger, while advising PartnerRe’s shareholders not to.