Zurich/RSA Offer Comes to a Conclusion!

On July 28th 2015, Zurich, a global financial services company, openly considered purchasing the RSA Insurance Group. RSA owns Pets Plus Us, a new and unique pet insurance provider for pet owners in Canada.

The decreasing trading performance of Zurich's General Insurance business has caused Zurich to terminate offer discussions with RSA. Zurich's due diligence findings on RSA met Zurich's expectations and did not contain any data that would have caused Zurich to withdraw their offer.

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Zurich Proposes Purchase of RSA Group

Zurich Insurance Group (Zurich) announced earlier today that it has made a proposal to RSA Insurance Group plc (RSA) regarding a possible offer to acquire the entire issued ordinary share capital of RSA for 550 pence per share in cash (Possible Offer). In addition, RSA’s shareholders would receive the interim dividend of 3.5 pence per ordinary share announced by RSA on August 6, 2015, in respect of the financial period ended June 30, 2015, to be paid by RSA.


The RSA board has indicated it would be willing to recommend an offer at the level of the Possible Offer to its shareholders subject to the satisfactory resolution of other terms of the Possible Offer.

The Possible Offer is subject to satisfactory completion of due diligence and agreement on other terms. Neither the indication of interest nor this announcement amounts to a firm intention to make an offer and there can be no assurance that any offer will be made. 


In accordance with Rule 2.6(a) of the UK Code on Takeovers and Mergers (the Code), Zurich was required, by not later than 5:00 p.m. London time on August 25, 2015, to either announce a firm intention to make an offer for RSA in accordance with Rule 2.7 of the Code or announce that it does not intend to make an offer. At the request of RSA, the UK Panel on Takeovers and Mergers (the Panel) has consented to an extension of this deadline until 5:00 p.m. London time on September 22, 2015, to enable the parties to continue their on-going discussions regarding a possible offer for RSA.

RSA Group owns Pets Plus Us the provider of pet health insurance to Canadian pet owners.



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Zurich Reports USD 2.2 Billion Operating Profit

Despite a two plus billion business operating profit, Zurich CEO Martin Senn suggests the company cannot be satisfied with current results. He says the plan to improve results will begin to achieve performance targets early next year. 

In the video, Senn also says he sees RSA as a complimentary business, but remarks that any new investment whether internal or external will be required to achieve a 10% return on capital - the goal Zurich set last year. If investments are unable to achieve the 10% Return on Investment (ROI) Zurich will prefer returning capital to their investors.

RSA Group is the owner of RSA Canada and Pets Plus Us the Canadian supplier of health insurance for pets.

Watch the video

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RSA Operating Profits up 84% and Interim Dividend Restored

• RSA Group CEO Hester reports upswing in results

• CNBC reports Zurich acquisition of RSA not on the table

Stephen Hester the former chief executive of the Royal Bank of Scotland, seems to be pulling off the miracle he promised shareholders for RSA Group earlier this year. For the moment he refuses to see the future of the RSA Group as anything but a standalone company. 

Profits for RSA Group include a strong showing from RSA Canada the owner of the Pets Plus Us Canada's health insurance provider for dogs and cats.

• Watch RSA's Hester on YouTube

Zurich Considers Purchase of RSA Insurance Group

InfoStream is keeping a watchful eye on a developing story from Europe. Zurich a global financial services company, may be considering the purchase of RSA Insurance Group. 

RSA Group owns Pets Plus Us, an emerging provider of pet health insurance and services for pet owners in Canada.



Zurich -  Zurich evaluates a potential offer for RSA Insurance Group plc

Zurich - Statement regarding RSA Insurance Group plc




RSA - Board notes Zurich announcement