Exor prepared to negotiate with PartnerRe

Exor, the Italian investment company that made a $137.50 per share offer for Bermuda-based PartnerRe, has agreed to negotiate with the reinsurer to improve closing certainty for shareholders.

On May 20, 2015, PartnerRe’s board of directors announced that it has agreed to engage in discussions with Exor to determine whether its offer can be improved, after securing a waiver from Axis Capital, the other bidder.

In a letter to the PartnerRe board, Exor said it was prepared to commence discussions “once the board of PartnerRe declares that Exor’s binding offer is reasonably likely to be a ‘superior proposal’.”

However, Exor said that it refuses to increase its offer and reiterated that its offer was of superior value, despite what the PartnerRe board has said.

“The transaction committee, which yesterday suggested our $137.50 per share all-cash binding offer was inadequate, has twice previously approved and recommended to the PartnerRe board transactions with AXIS at considerably lower valuations,” said Exor.