Aon and Willis Towers Watson merger back on

The Bermuda market is digesting the news that Aon will merge with Willis Towers Watson in an all-stock transaction that has been valued at approximately $80 billion.

The deal is expected to close in the first half of 2021 and will see each Willis Towers Watson share exchanged for 1.08 shares of Aon at a fixed exchange ratio. Aon shareholders will own approximately 63 percent of the combined group, which will operate under the Aon brand. Willis Towers Watson shareholders will own the remaining 37 percent on a fully diluted basis.

The combined company will be led by Aon CEO Greg Case and Aon CFO Christa Davies, with John Haley, CEO of Willis Towers Watson, becoming executive chairman "with a focus on growth and innovation strategy".

The board of directors will comprise proportional members from each of Aon and Willis Towers Watson.

The transaction, which was announced a year after Aon indicated it was no longer looking for a combination with its rival insurance broker, remains subject to regulatory and shareholder approvals and other customary closing conditions.