OLDWICK, N.J.--(BUSINESS WIRE)--In this A.M.BestTV episode, Catherine Thomas, senior director of analytics, A.M. Best, reviews the strategies buyers are following in selecting insurance acquisition targets and some of the post-acquisition issues that can undermine deals. Click on http://www.ambest.com/v.asp?v=europeanmanda718 to view the entire program.
“The drivers for a company to acquire another company are very diverse,” says Thomas. “In the current very competitive operating environment, there is a perceived need to build scale and relevance, particularly in the reinsurance sector, which is under pressure from alternative capital.”
Thomas also spoke about how companies are using different strategies and routes to integrate businesses post-acquisition.
“The methods being used tend to relate back to the original motivation for the deal. For example, if you see similar businesses merging, the intention here tends to be improving relevance and scale.…On the other hand, companies that purchased a quite different business to that currently underwritten by the buyer, tend to see that the acquired management team remains in place and the takeover target maintains a significant degree of independence,” she said.
To access a copy of this briefing, titled, “M&A Drivers Set to Remain, Fuelling Further Insurance Deals”, visit http://www3.ambest.com/bestweek/purchase.asp?record_code=273972.
Recent episodes of A.M.BestTV include:
- Russian Insurers Face Operating and Regulatory Challenges, Says A.M. Best Analyst: Valeria Ermakova, senior financial analyst, A.M. Best, said declines in motor and some commercial lines, combined with profitability challenges, have narrowed the field of non-life insurers in Russia: http://www.ambest.com/v.asp?v=russianib618.
- Digital Technology Taking Hold in German Non-Life Market, Says A.M. Best Analyst: Konstantin Langowski, financial analyst, A.M. Best, reviews the factors underlying the stable outlook for the German non-life insurance market, including how digital technology is remaking competition in that sector: http://www.ambest.com/v.asp?v=german618.
- Kazakhstan Insurance Market Evolving, Faces Constraints, Say A.M. Best Analysts: Valeria Ermakova, senior financial analyst, and Yevgine Asatryan, financial analyst, both at A.M. Best, examine the factors driving growth among insurers in Kazakhstan, along with their varying abilities to respond to regulatory changes: http://www.ambest.com/v.asp?v=kazakhstan618.
- New Data Rules Put Spotlight on Insurers' Risk Management, Says A.M. Best Senior Analyst: Alvise Argenton, senior financial analyst, A.M. Best, said analysts are examining how insurers are responding to the new General Data Protection Regulation as a component of assessing an organization's risk management activities: http://www.ambest.com/v.asp?v=gdpr718.
A.M.BestTV covers exclusive A.M. Best information and reports, targeted topics and key developments in the (re)insurance industry every Monday, Wednesday and Friday. Sign up for alerts of episodes at http://www.ambest.com/multimedia/ambtvsignup.html. View A.M.BestTV episodes at http://www.ambest.tv.
A.M. Best is the world’s oldest and most authoritative insurance rating and information source. For more information, visit www.ambest.com.
Copyright © 2018 by A.M. Best Company, Inc. and/or its affiliates. ALL RIGHTS RESERVED.