Allianz Group said Feb. 14 that it has raised its stake in Euler Hermes Group SA to 92.43%.
The German insurance group on Jan. 15 launched a tender offer for the remaining shares in Euler Hermes it did not own. At the close of the tender offer Feb. 13, the remaining float on the market was 2,610,884 shares, excluding 619,189 treasury shares and representing 6.12% of Euler Hermes' share capital.
Including its purchase of Euler Hermes shares prior to the tender offer, Allianz has acquired an additional 29.43% of the French company's share capital, representing a total investment of approximately €1.5 billion.
Allianz said the transaction will enable it to "deploy capital in a strategic business that delivers solid operating performance and to strengthen its position in the property and casualty sector."
The transaction, which is expected to be immediately EPS accretive, will have no impact on Allianz' planned €2 billion share buyback program for 2018.