Allianz Intends to Acquire Rest of Euler Hermes

By Marc Bisbal Arias Features Dow Jones Newswires

Allianz SE (ALV.XE) said Monday that it intends to acquire all outstanding Euler Hermes Group SA (ELE.FR) shares not already owned by Allianz and held by minority shareholders through a simplified cash tender offer.

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The offer would be for 24.20% of Euler Hermes' share capital at the price of 122 euros ($145.5), the German company said, bringing its stake to 98.54%.

The offer wouldn't take into account the treasury shares representing 1.46% of Euler Hermes share capital, it said.

Allianz had secured 11.34% of Euler Hermes share capital on Nov. 24 at a price of EUR122, it said, which brought Allianz's stake in Euler Hermes to 74.34%.

The German financial-services company expects to formally file the tender offer in the coming weeks, which will remain subject to approval from regulatory authorities.

"Increasing ownership in Euler Hermes is therefore a logical step for Allianz to deploy capital in strategic businesses delivering solid operating performance, and to strengthen positions in core home markets and in property and casualty in particular," Allianz said.

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Should its stake in Euler Hermes reach 95%, Allianz said that it intends to implement a squeeze-out procedure following the contemplated tender offer.

The offer will have no impact on the share buyback program of Allianz for 2018 of up to EUR2 billion, it said.

Write to Marc Bisbal Arias at marc.bisbalarias@dowjones.com

(END) Dow Jones Newswires

November 27, 2017 02:33 ET (07:33 GMT)