Zurich Insurance Agrees Deal to Acquire Beazley For £8 Billion

Zurich Insurance Group (Zurich) and Beazley (LON: BEZ) have announced an agreement in principle for a potential cash offer by Zurich for the entirety of Beazley's issued and to-be-issued ordinary share capital. The proposal values Beazley shares at up to 1,335 pence each.

The offer comprises a cash offer price of 1,310 pence per share. Beazley shareholders may also receive permitted dividends for the year ending December 31, 2025, of up to 25 pence per share prior to the deal's completion.

The offer price of 1,310 pence represents a significant premium. It's nearly 60% higher than Beazley's closing share price on January 16, 2026, and the 30-day volume-weighted average share price. It also exceeds Beazley’s all-time high share price prior to the offer by 34.6%.

If the permitted dividend is fully paid, Beazley shareholders would receive approximately £8.0 billion in aggregate. This is 62.8% higher than Beazley's market capitalization based on its closing share price on January 16, 2026.

The proposed transaction aims to create a leading global specialty platform. The combined entity would have approximately $15 billion in gross written premiums. It would also leverage Beazley's presence in Lloyd's of London, based in the UK.

Beazley's Board has stated that it is prepared to recommend the offer to its shareholders. This recommendation is contingent upon a firm intention to make an offer being announced and the satisfactory resolution of all other terms and documentation.

Zurich will now commence confirmatory due diligence on Beazley. The announcement of any firm offer is subject to customary pre-conditions, including the satisfactory completion of this due diligence.

There is no certainty that a firm offer will be made, even if these pre-conditions are met or waived. Zurich must announce a firm intention to make an offer or announce that it does not intend to make an offer by February 16, 2026.

Zurich retains the right to introduce other forms of consideration, or to vary the mix or composition of its offer. Zurich also reserves the right to announce an offer on less favorable terms under certain circumstances, such as with the agreement of Beazley's Board or if a third party makes a competing offer.

Zurich may reduce its offer by the amount of any dividend or other distribution made by Beazley after the date of this announcement, excluding the Permitted Dividend. Further announcements will be made in due course.