Zurich Insurance Group has submitted an improved proposal to the Board of Beazley plc to acquire 100 per cent of the UK-based specialty insurer. Under the terms of the proposal, Beazley shareholders would receive 1,280 pence in cash per share. The offer price represents a 56 per cent premium to Beazley's closing share price of 820 pence on 16 January 2026, a 27 per cent premium to the median of sell-side analysts' price targets of 1,010 pence, and a 32 per cent premium to Beazley's all-time high share price of 973 pence on 6 June 2025. The Swiss insurer previously submitted a proposal at 1,230 pence per share on 4 January 2026, which the Board of Beazley unanimously rejected on the basis that it significantly undervalued the company. Zurich says its proposal provides Beazley shareholders with immediate and certain cash value at a level that exceeds what the company could achieve through the execution of its strategy, as set out at Beazley's Capital Markets Day on 25 November 2025. The transaction would create a global leader in specialty insurance with approximately US$15 billion of gross written premiums, combining exceptional data availability and underwriting expertise with leading market and distribution capabilities. Zurich notes the combination of two highly complementary businesses would establish a leading global specialty platform based in the UK, leveraging Beazley's Lloyd's of London presence. The acquisition would align with strategic priorities indicated at Zurich's Investor Day on 18 November 2025. It would be funded through existing cash and new debt facilities, with the remainder funded through an equity placing. In response, the Board of Beazley says it has not yet had the chance to consider the improved proposal. The company is urging shareholders to take no action in the meantime. Under Rule 2.6(a) of the UK Takeover Code, Zurich is required by 16 February 2026 to either announce a firm intention to make an offer or announce that it does not intend to proceed.
