Italian broker Generali has completed its acquisition of rival firm Cattolica in a previously-announced deal that’s intended to enable an eventual merging of the two organisations.
Generali, already a significant shareholder, required a controlling stake in the firm in order to lay the regulatory groundwork for its merger plans.
The consideration for each share tendered to the offer is equal to €6.75 per share.
The 138,842,677 shares set to change hands under the agreement, when combined with the 54,054,054 shares already held by Generali, brings its total stake in Cattolica to 84.5%.
Generali committed to becoming a major shareholder of Cattolica Group through a reserved share capital increase of €300 million back in June 2020, when the pair launched their strategic partnership.
Generali Group Chief Executive Officer, Philippe Donnet, said the success of the deal will further strengthen the broker’s leadership in the Italian insurance market and its position among the largest European insurance groups.”
“The overwhelmingly positive feedback that we have received from the market demonstrates the attractiveness of our offer, which has now successfully concluded in line with our terms and timeline,” he added.
“The transaction will make it possible to further integrate the business models of Generali and Cattolica, as has already transpired since the creation of the partnership signed in June 2020 and will deliver significant value creation for all stakeholders.”
The Country Manager & CEO Generali Italia and Global Business Lines, Marco Sesana, commented, “The transaction with Cattolica will provide support for the real economy whilst generating benefits for all stakeholders, notably customers and employees.
“The transaction will make it possible to further enhance the distinctive capabilities of Cattolica, through the use of the technology and innovation of Generali Italia.
“I want to give a warm welcome to all Cattolica colleagues and agents: in the coming months it will be a priority for us to come together and share the benefits of belonging to a large international group. We also remain fully committed to serving local communities and promoting local excellence in addition to driving sustainable economic growth, with a particular focus on ESG criteria.”
