DUBLIN, Ireland, Dec. 17, 2014 /PRNewswire/ -- Noting the
announcement made by Catlin Group Limited (Catlin) this morning, XL
Group plc (NYSE: XL) today confirmed that it is engaged in
preliminary discussions with Catlin (LSE: CGL) regarding a
potential transaction to acquire the company and form a combined
entity.
XL CEO Mike McGavick commented:
"Both XL and Catlin – respected, innovative, global P&C firms -
are well positioned on their own. However, we both believe that we
will be far better positioned and stronger together. We see this
transaction as deeply accelerating the strategies of both
companies.
"Specifically, the combined entity would be a leader in the
global specialty and property cat markets and would make greater
and more efficient use of both companies' global networks and
infrastructure. As Catlin is the leading presence at Lloyd's, the
combination would immediately expand many of the lines of business
in which XL has recently invested. In the increasingly competitive
reinsurance market, the combined company would be a top 10 player,
thereby increasing alternative capital opportunities and overall
relevance to clients and brokers. The proposed transaction is
expected to result in attractive economics starting in the first
year and long-term value for shareholders.
"For these reasons, and crucially, for the deep cultural and
strategic alignment we see between XL and Catlin, with both built
on disciplined underwriting, we see meaningful opportunity in this
transaction."
The transaction would require approval by the Boards of
Directors of each company and would be subject to various
shareholder and regulatory approvals and completion of diligence.
There can be no assurance that a transaction will result from these
discussions, nor can there be any certainty as to the terms on
which any such transaction might proceed.
XL does not intend to comment further at this stage and any
further statements will be made if and when appropriate.
About XL
XL Group plc (NYSE: XL), through its subsidiaries, is a global
insurance and reinsurance company providing property, casualty and
specialty products to industrial, commercial and professional
firms, insurance companies and other enterprises throughout the
world. XL is the company clients look to for answers to their most
complex risks and to help move their world forward. To learn more,
visit www.xlgroup.com
This press release contains forward-looking statements.
Statements that are not historical facts, including statements
about XL's beliefs, plans or expectations, are forward-looking
statements. These statements are based on current plans, estimates
and expectations, all of which involve risk and uncertainty.
Statements that include the words "would," "expect," "intend,"
"plan," "believe," "project," "anticipate," "may" or similar
statements of a future or forward-looking nature identify
forward-looking statements. Actual results may differ materially
from those included in such forward-looking statements and
therefore you should not place undue reliance on them.
XL undertakes no obligation to update publicly or revise any
forward-looking statement, whether as a result of new information,
future developments or otherwise.
Nothing contained herein shall be deemed to be a forecast,
projection or estimate of the future financial performance of XL,
Catlin or the combined business following completion of any
potential transaction.
Contact:
David Radulski
Investor Relations
(203) 964-3470
Carol Parker Trott
Media Relations
(441) 294-7290
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SOURCE XL Group plc