AM Best revises PartnerRe ratings
AM Best affirms PartnerRe’s rating after EXOR purchase
Italian investment firm EXOR has completed its lengthy battle to acquire Bermuda-based reinsurer PartnerRe for $6.9 billion
Under the terms of the merger agreement, common shareholders of record as of immediately prior to the effective time of the merger are entitled to receive per share consideration of $137.50 and a one-time special cash dividend of $3.00 per share.
EXOR is also paying a pro-rata quarterly dividend of $0.13 per common share for the period March 1- March 17, 2016, payable to common shareholders of record as of immediately prior to the effective time of the merger.
Pursuant to the terms of the merger agreement, which had carried on for 14 months, PartnerRe common shares will no longer be traded on the New York Stock Exchange (NYSE), effective immediately.
In connection with the consummation of the transaction, holders of the company’s outstanding preferred shares as of the closing are entitled to receive a cash payment of $1.25 per share (approximately $42.7 million in the aggregate). PartnerRe’s preferred shares will continue to be traded on the NYSE following the closing.
PartnerRe also announced its board of directors will be comprised of: John Elkann, chairman and chief executive officer (CEO) of EXOR, and chairman of Fiat Chrysler Automobiles; Mario Bonaccorso, managing director, EXOR; Brian Dowd, previously with ACE; Patrick Thiele, former CEO of ParnerRe; and Enrico Vellano, chief financial officer, EXOR.
The new Board of Directors is scheduled to convene for the first time on March 24, 2016, when they expect to nominate the chairman and appoint the next permanent chief executive officer (CEO), who is expected to be selected from PartnerRe’s existing management.
EXOR, PartnerRe, M&A, Europe, Berrmuda