Italy’s top insurer Generali sealed its 1.17 billion euro ($1.36 billion) takeover of smaller rival Cattolica on Friday in a move aimed at cementing its domestic market leadership.
On the last day of Generali’s buyout offer, investors had tendered shares equivalent to 60.8% of Cattolica’s capital, bourse data showed.
Along with the shares it already owned, Generali now holds a stake of 84.5% in Cattolica.
Generali crossed the majority threshold on Thursday but a two-thirds majority was needed to push through extraordinary shareholder resolutions such as the decision to take Cattolica private and merge it into the group – as Generali plans to do.
Generali first moved on Cattolica last year, coming to its rescue with a 300 million euro investment after supervisors told the Verona-based insurer to bolster its finances.
Trieste-based Generali offered 6.75 euros for each Cattolica share tendered, a price deemed fair by Cattolica’s board.
Shares in Cattolica, which until recently traded above the bid’s price, closed at 6.58 euros on Friday.
($1 = 0.8624 euros) (Reporting by Andrea Mandalà; editing by Mark Potter)
Was this article valuable?
Here are more articles you may enjoy.
Billionaire NFL Owner Suing Over Billboards Near His LA Stadium 
SIAA Announces Strategic Partnership With Progressive 
Alliant Latest to Sue Howden US Over Alleged ‘Smash-and-Grab’ Poaching 
Good Times for US P/C Insurers May Not Last; Auto Challenges Ahead 
