Generali secures majority of Cattolica's capital in buyout offer
(Reuters) — Italy's top insurer, Generali, secured a majority stake in Cattolica on Thursday through its €1.17 billion ($1.367 billion) buyout offer for the smaller rival, aimed at further strengthening its domestic leadership.
So far, 39.54% of the shares subject to the offer, or just over 30% of Cattolica's total capital, have been tendered in the bid, which ends Oct. 29, bourse data showed. With the shares already owned ahead of the offer, Generali now holds a stake in Cattolica of just under 54%, above the 50% plus one share threshold it has set as a condition of the offer.
Generali first moved on Cattolica last year, coming to its rescue with a €300 million investment after supervisors told the Verona-based insurer to bolster its finances.
Trieste-based Generali became Cattolica's single largest shareholder with a 23.7% stake last year, relegating Warren Buffett's Berkshire Hathaway to second place.
Earlier last week Berkshire Hathaway tendered its 6.9% stake under the takeover offer.
