Tokio Marine Holdings Inc. (TMHD) will acquire all outstanding shares of Delphi Financial Group Inc., a financial services holding company comprised of specialty life and P&C insurance and insurance-related businesses. The transaction is for $43.875 per Class A share and $52.875 per Class B share in cash, through TMHD's wholly owned subsidiary, Tokio Marine & Nichido Fire Insurance Co. Ltd. (TMNF). In addition, Delphi shareholders will receive $1 in cash per share, pursuant to a one-time special dividend from Delphi for each share of Class A and Class B stock they own. The total transaction value is around $2.7 billion and is expected to close in the second quarter of 2012.
Tokio says the acquisition of Delphi complements Tokio Marine’s presence in the U.S. P&C market, and marks its entrance into the U.S. life insurance market. Delphi has three main subsidiaries. Delphi’s life insurance subsidiary, Reliance Standard Life Insurance Co., underwrites a diverse portfolio of group employee benefits and also markets asset accumulation products, primarily fixed annuities, to individuals. Its P&C subsidiary, Safety National Casualty Corp., is the longest tenured insurer in the excess workers’ compensation market in the United States. A third subsidiary, Matrix Absence Management Inc., provides integrated disability and absence management services to the employee benefits market.
Register or login for access to this item and much more
All Digital Insurance content is archived after seven days.
Community members receive:
- All recent and archived articles
- Conference offers and updates
- A full menu of enewsletter options
- Web seminars, white papers, ebooks
Already have an account? Log In
Don't have an account? Register for Free Unlimited Access