Allianz Group said it submitted to French markets regulator Autorité des marchés financiers its tender offer request to acquire all the outstanding shares of trade-credit insurer Euler Hermes Group SA that it does not already own.
The German insurer is offering to purchase a maximum of 10,320,680 shares, or 24.20% of Euler Hermes' share capital, for €122 apiece, for a total of about €1.26 billion.
The tender offer is expected to begin in early 2018 and close in the first quarter of the year. The offer would be followed by a squeeze-out if the remaining minority shareholders represent less than 5% of Euler Hermes' share capital.
Separately, Euler Hermes said its supervisory board has deemed Allianz' simplified cash tender offer as favorable and decided to make a recommendation to shareholders to tender their shares into the offer.