CHICAGO--(BUSINESS WIRE)--
CNA Financial Corporation (NYSE: CNA) and Hardy Underwriting Bermuda
Limited (LSE: HDU) announced today that they have agreed to terms on a
cash acquisition by CNA of all common shares of Hardy. The acquisition
is to be implemented by way of a merger under the Bermuda Companies Act.
CNA will pay approximately $227 million USD for the Hardy common shares.
The proposed transaction has been approved by the board of directors of
both companies. Subject to the approval of Hardy shareholders,
regulatory approvals and other conditions set forth in the agreement,
the acquisition is expected to be completed during the second quarter of
2012.
Under the terms of the agreement, Hardy shareholders will be entitled to
receive 280 pence ($4.44 USD) for each common share. The acquisition
price values Hardy's entire issued and to be issued share capital at
approximately £143 million ($227 million USD).
“We are delighted to have reached this agreement,” said Thomas F.
Motamed, Chairman and Chief Executive Officer of CNA Financial. “Hardy
is a specialist insurer and reinsurer with a respected brand and a long
and distinguished history of disciplined underwriting in the Lloyd’s
market. While Hardy’s recent results reflect the extraordinary level of
natural catastrophe losses across the global insurance industry, the
Hardy franchise is built on a strong foundation and has a bright future.
The proposed Hardy acquisition significantly expands CNA’s global
capabilities and aligns well with our specialized underwriting focus.
“Hardy and CNA share similar underwriting and management philosophies.
We are pleased that Barbara Merry, Chief Executive, and Patrick Gage,
Director of Underwriting, will continue to lead their outstanding team,”
Motamed continued.
Aon Benfield Securities is acting as financial advisor to CNA in
connection with the transaction. Rothschild and Peel Hunt are acting as
financial advisors to Hardy in connection with the transaction.
About CNA
Serving businesses and professionals since 1897, CNA is the country’s
seventh largest commercial insurance writer and the 13th
largest property and casualty company. CNA's insurance products include
standard commercial lines, specialty lines, surety, marine and other
property and casualty coverages. CNA's services include risk management,
information services, underwriting, risk control and claims
administration. For more information, please visit CNA at www.cna.com.
CNA is a registered trademark of CNA Financial Corporation.
About Hardy
Hardy Underwriting Bermuda Limited is a Bermuda-domiciled international
insurance and reinsurance group listed on the Main Market of the London
Stock Exchange, with business operations in London, Bermuda, Bahrain,
Guernsey and Singapore. The Group underwrites marine and aviation,
property and specialty business, together with a property reinsurance
account.
This press release may include statements which relate to anticipated
future events (forward-looking statements) rather than actual present
conditions or historical events. These statements generally include
words such as "believes", "expects", "intends", "anticipates",
"estimates", and similar expressions. Forward-looking statements, by
their nature, are subject to a variety of inherent risks and
uncertainties that could cause actual results to differ materially from
the results projected. Many of these risks and uncertainties cannot be
controlled by CNA Financial. For a detailed description of other risks
and uncertainties affecting CNA Financial, please refer to CNA
Financial’s filings with the SEC, available at www.cna.com.
Any forward-looking statements made in this press release are made by
CNA Financial as of the date of this press release. Further, CNA
Financial does not have any obligation to update or revise any
forward-looking statement contained in this press release, even if CNA
Financial’s expectations or any related events, conditions or
circumstances change.
CNA Financial Corporation
U. S. MEDIA -
Katrina Parker,
312-822-5157
Sarah J. Pang, 312-822-6394
EUROPEAN MEDIA -
Alan
O’ Sullivan, +44 (0) 207.395.7017
ANALYSTS -
Nancy Bufalino,
312-822-7757
Marie Hotza, 312-822-2183
David Adams,
312-822-4278
Source: CNA