Apollo Global Management to buy Aspen Insurance for $2.6bn
Private equity firm Apollo Global Management has agreed to buy Aspen Insurance for around $2.6bn.
Under the terms of the deal, which has been approved by Aspen's board of directors, shareholders will receive $42.75 per share in cash.
The transaction is expected to close in the first half of next year, subject to the approval of regulators and Aspen’s shareholders, among other things. Upon completion, Aspen will be a privately held portfolio company of the Apollo Funds and Aspen’s ordinary shares will no longer be listed on the New York Stock Exchange.
Aspen chief executive Chris O'Kane said: "This transaction is a testament to the strength of Aspen’s franchise, the quality of our business and the talent and expertise of our people. Under the ownership of the Apollo Funds, Aspen will have additional scale and access to Apollo’s investment and strategic guidance, which will help us to accelerate our strategy and take Aspen to the next level.
"We are excited about the future as we embark on a new chapter in our history with a partner that understands our strengths, culture and customer-centric philosophy."
Alex Humphreys, a partner at Apollo, said: "We are tremendously excited for the Apollo Funds to acquire Aspen. We believe that Aspen benefits from strong underwriting talent, specialised expertise and longstanding client relationships which makes them well positioned in the market.
"We look forward to working with Aspen to build on the existing high quality specialty insurance and reinsurance business and we aim to leverage Apollo’s resources and deep expertise in financial services to support the company as it embarks on its next chapter."