Novae shareholders approve its $611.5m takeover by AXIS
Bermuda-based specialty insurer AXIS's planned $611.5m acquisition of Novae Group will go ahead, following near-unanimous agreement by the latter's shareholders. Novae, a Lloyd’s of London specialty insurer and reinsurer, agreed to the acquisition following a sweetened offer made by AXIS. The deal is set to complete during Q4 2017, and will result in a global specialty insurer and reinsurer boasting more than $6bn in gross written premiums.
AXIS Capital Holdings Ltd.’s planned $611.5 million acquisition of Novae Group plc will be going through.

AXIS, a Bermuda-based specialty insurer, disclosed that Novae’s shareholders on Aug. 29 cast votes 99.97 percent in favor of the acquisition. Novae is a Lloyd’s of London specialty insurer and reinsurer.

The $611.5 million purchase price reflects a sweetened, final offer that AXIS made about a week ago.

When the acquisition closes in the 2017 fourth quarter, the combined company will be a global specialty insurer and reinsurer with more than $6 billion in gross written premiums.

Albert Benchimol, AXIS president and CEO, said that the combined company will be a $2 billion in insurer and helps move the company forward in a big way.

“The acquisition of Novae accelerates the growth strategy of our international insurance business,” Benchimol noted in prepared remarks. “We are excited by the possibilities this presents and look forward to welcoming the Novae team as we work together to achieve our shared ambitions.”

Matthew Fosh, Novae’s CEO, added in prepared remarks that he sees the combined company as “superbly positioned to compete in the international specialty insurance marketplace.”

This is the first big acquisition for AXIS since its failed attempt to buy PartnerRe in 2015. After months of back-and-forth, PartnerRe agreed to an unsolicited $6.9 billion bid from Italian Investment firm EXOR. PartnerRe paid a $315 million break-up free to AXIS.

Source: AXIS