trending Market Intelligence /marketintelligence/en/news-insights/trending/Tlp-d3H5dJAt--KzEWXKwg2 content
Log in to other products

Login to Market Intelligence Platform


Looking for more?

Contact Us

Request a Demo

You're one step closer to unlocking our suite of comprehensive and robust tools.

Fill out the form so we can connect you to the right person.

If your company has a current subscription with S&P Global Market Intelligence, you can register as a new user for access to the platform(s) covered by your license at Market Intelligence platform or S&P Capital IQ.

  • First Name*
  • Last Name*
  • Business Email *
  • Phone *
  • Company Name *
  • City *
  • We generated a verification code for you

  • Enter verification Code here*

* Required

Thank you for your interest in S&P Global Market Intelligence! We noticed you've identified yourself as a student. Through existing partnerships with academic institutions around the globe, it's likely you already have access to our resources. Please contact your professors, library, or administrative staff to receive your student login.

At this time we are unable to offer free trials or product demonstrations directly to students. If you discover that our solutions are not available to you, we encourage you to advocate at your university for a best-in-class learning experience that will help you long after you've completed your degree. We apologize for any inconvenience this may cause.

In This List

OneBeacon pursued several suitors before finalizing merger agreement with Intact

Infrastructure Issues: Tools to Dig Deep on Potential Risks

Part Two IFRS 9 Blog Series: The Need to Upgrade Analytical Tools

2018 US Property Casualty Insurance Market Report


Fintech Funding Flows To Insurtech In February

OneBeacon pursued several suitors before finalizing merger agreement with Intact

Several months before striking a merger agreement with Intact Financial Corp., OneBeacon Insurance Group Ltd. considered a potential transaction with another company whose offer depended on achieving certain tax benefits. Talks with the unidentified third party fell through after Donald Trump was elected as president in November 2016, but "favorable" market conditions convinced President and CEO Timothy Miller that it was the right time to look for other suitors, according to a June 8 regulatory filing.

From mid-December 2016 to January 2017, the company's financial adviser, Credit Suisse, executed draft nondisclosure statements with seven companies, including Intact, after contacting 17 companies regarding a potential transaction.

With three bidders dropping out of the process by February, OneBeacon received nonbinding preliminary indications of interest from Intact, Party B, Party C and Party D, as referred to in the filing. Intact proposed to pay in cash between $18.00 and $20.00 per OneBeacon share; Party B offered to pay in cash $17.13 per share on a fully diluted basis; Party C proposed to pay $20.00 per share, entirely in its stock, Party D offered to pay in cash $18.00 per share.

The number of bidders dropped to two in the second round in March after Credit Suisse requested submissions of "markups." On March 10 and March 20, Party C and Party D opted out of the process.

The surplus notes issued to OneBeacon in connection with the 2014 sale of its non-specialty business to Armour Group Holdings Ltd. became an issue in its subsequent negotiations with the remaining bidders. While Party B imposed a condition that the notes be sold in an amount equal to their carrying value prior to the closing of the merger, Intact required the company's majority shareholder, White Mountains Insurance Group Ltd., to purchase the notes. The two parties lowered their bids when the insurer rejected their conditions.

In mid-April, OneBeacon told Intact it would not accept any offer less than $18.10 per share. With talks between Party B and OneBeacon falling through, Intact agreed to acquire OneBeacon for $18.10 per share in cash. OneBeacon also agreed to pay Intact termination fee of $85.1 million and reimburse its expenses by up to $22.0 million in case the deal is terminated.