Zurich Insurance Group has submitted an improved proposal to acquire Beazley plc, offering 1,280 pence in cash per share, representing a premium of approximately 56% to Beazley’s closing share price on 16 January 2026, according to a company statement.
The revised proposal follows an earlier 1,230 pence per share approach made on 4 January 2026, which Beazley’s board rejected on 16 January as significantly undervaluing the business. Zurich said it wants to proceed at pace and believes the updated proposal “provides full value for Beazley across all relevant metrics.”
Zurich said the offer represents a 56% premium to Beazley’s 30-day volume-weighted average share price to 16 January, a 27% premium to the median analyst price target of 1,010 pence, and a 32% premium to Beazley’s all-time high of 973 pence reached in June 2025. Any final offer price may be reduced by the value of dividends declared or paid after the announcement.
Strategic rationale
Zurich framed the potential transaction as the creation of a global specialty insurance leader with around US$15 billion of gross written premiums, combining Zurich’s commercial lines scale and global specialty unit with Beazley’s Lloyd’s platform and transactional specialty expertise.
The group noted that its global property and casualty business generated approximately US$47 billion of gross written premiums in 2024, with its existing specialty platform contributing around US$9 billion.
Zurich said the combination would generate benefits across underwriting, data, distribution, reinsurance and technology. The transaction would be funded through a mix of existing cash resources, new debt facilities and an equity placing, and is expected to be accretive to Zurich’s 2027 financial targets.
Process and timetable
Zurich emphasised that there is no certainty an offer will ultimately be made. Under the UK Takeover Code, Zurich must, by 5.00pm (London time) on 16 February 2026, either announce a firm intention to make an offer or confirm that it does not intend to do so, unless the deadline is extended with the consent of the Takeover Panel.
Zurich also reserved the right to vary the structure of the consideration, adjust the offer in certain circumstances, or announce different terms should Beazley’s board recommend the approach or a competing bid emerge.
The proposed deal underscores the growing strategic importance of specialty underwriting scale and Lloyd’s distribution as insurers seek competitive advantage through data, reinsurance relationships and global reach.
