Thursday, June 1, 2023

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Poste Vita launches takeover bid on Net Insurance, all the details

Poste Vita launches takeover bid on Net Insurance, all the details

Net Insurance shares are flying after the announcement of the takeover bid that will launch Poste Vita (Poste Italiane group). Facts, numbers and comments

Poste Vita ( a company wholly owned by Poste Italiane) launches a voluntary totalitarian takeover bid on Net Insurance, an insurance company listed on the Milan Stock Exchange.

This was announced by Poste Italiane with a note released late yesterday evening.

The consideration that will be offered for each share – specifies the note, is equal to 9.50 euros (corresponding to a premium of 28.0% on the weighted average of the official daily prices of Borsa Italiana in the last month) and the consideration that will be offered for each warrant is equal to € 4.81 (premium of 60.0% on the weighted average of the prices of the Italian Stock Exchange in the last month).

"On Wednesday the Net Insurance stock closed at € 8.10 for approximately € 150 million of capitalization, at a value of € 9.5 the takeover bid will cost Poste Vita around € 172 million, taking into account that the ceo Battista does not sell his 2% ”underlines MF .

The operation is aimed at the delisting of the securities, “which meanwhile posted a + 15.5%, reaching 9.36 euros, against the price of 9.5 euros put on the plate by the Poste group” reports Radiocor .

The completion of the transaction, subject to obtaining regulatory and antitrust approvals, is expected within the first half of 2023.

All the details.


The board of Poste Vita, having taken note of the favorable opinion expressed by the Board of Directors of the Parent Company, which met yesterday under the chairmanship of Maria Bianca Farina, approved the promotion of a voluntary totalitarian public purchase offer for cash on the ordinary shares of Net Insurance and a total voluntary public purchase offer for cash on all the warrants called 'Warrant Net Insurance 2018-2023'.

The offers will be promoted through a corporate vehicle which will be set up in the form of a joint stock company under Italian law and which will be directly controlled by Poste Vita (“BidCo”).


IBL Banca, current shareholder of Net Insurance with a stake of 26.64% of the share capital, and the CEO of Net Insurance, Andrea Battista, have undertaken specific commitments to adhere to the offers and will therefore be considered as persons acting in concert , specify the note. In addition, the Manager has undertaken the commitment not to subscribe to the offer on the shares 400 thousand shares held in Net Insurance.


Upon completion of the Transaction, Battista is expected to maintain a stake of approximately 2% of the share capital of Net Insurance. On the other hand, Ibl is expected – after having adhered to the offers with all the shares and warrants in its possession – to acquire a stake equal to 40% of the share capital of BidCo at "a price that will be parameterized pro rata to the actual disbursement incurred by BidCo for the payment of the consideration of the offers (and the related costs), as well as the operating expenses of BidCo ".


The offer of the insurance company Net Insurance is dedicated to insurance coverage related to the world of credit and, in particular, loans assisted by the assignment of one-fifth of the salary or pension ("CQ"), to protection (through non-life / non-life bancassurance auto and through a network of brokers) and (to a very limited extent) to insurtech, thanks to agreements with technology partners.


In 2021 it reported gross premiums of € 149 million (CAGR 2019-2021 of 33%), of which € 91 million relating to insurance coverage related to the QC (market share of 21%). significant growth in the non-life / protection insurance segment.


According to the group led by Matteo del Fonte, "the Transaction will allow Poste Vita, in line with the objectives defined in the industrial plan of the Poste Italiane group" 2024 Sustain & Innovate ", to achieve significant growth in the non-life insurance segment / protection, through the acquisition of a controlling interest in a leading company in Italy in this market segment ".

From an industrial point of view, Poste Vita intends to identify Net Insurance as a "center of competence" of the insurance group for insurance products linked to the QC and as a reference product factory with regard to the distribution of insurance products on third-party networks, with particular reference to networks banking.


The Transaction is also aimed at creating a long-term strategic and commercial partnership with Ibl, through the 40% stake it will acquire in BidCo, further strengthened by Ibl's commercial commitments aimed at a substantial increase in the related insurance coverage. to its QC loans purchased by Net Insurance.

This is a machine translation from Italian language of a post published on Start Magazine at the URL on Thu, 29 Sep 2022 12:40:15 +0000.