Dan Coatsworth, head of markets at AJ Bell, said: “It was clear from previous statements that Zurich was determined to own Beazley. Having done the M&A dance for some time and tried its luck with various proposals, Zurich has finally offered the right number to win over the target’s board. There is always the right price for everything, and Zurich appears to have found it.
“Zurich now needs to make a formal offer, and it looks the deal could be sewn up in a jiffy. An approximate 60% bid premium is higher than the average bump on UK takeovers in any of the past five years and could be sweet enough to win over shareholders.
“The downside for the UK stock market is the potential loss of another major financials business, and one that has generated significant returns for investors over the years.”
Contact details are available to account holders.
Create a free account to get in touch with this expert.