Transatlantic enters talks with fourth potential bidder
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NEW YORK—Transatlantic Holdings Inc. said Tuesday that it has entered into deal talks with its fourth potential bidder.
The New York reinsurer said its recent agreement is in addition to those it had entered into with Bermuda reinsurer Validus Holdings Ltd., Omaha, Neb.-based Berkshire Hathaway Inc.'s reinsurance unit National Indemnity Co., and an additional undisclosed party.
“There can be no assurance that these discussions will result in a proposal or a transaction,” Transatlantic said in a statement Tuesday.
In June, Transatlantic announced a planned merger with Zug, Switzerland-based Allied World Assurance Co. that collapsed in September, but Validus made an unsolicited bid in July that remains in the running. The values of the offers were roughly $3 billion, depending on stock market fluctuations.
Soon afterward, National Indemnity made a $52-per-share offer that represented only 77% of Transatlantic’s stated June 30 book value, which Transatlantic in September said it had rejected, and National Indemnity refused to increase.
In addition, former General Re Corp. CEO Joseph Brandon and Dan H. Jester, a former U.S. Treasury Department official, reportedly are part of an investor group that has begun negotiations with Transatlantic.
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