This week has already witnessed two major M&A transactions. Global reinsurance and insurance broker Willis Group Holdings and professional services and analytics firm Towers Watson have agreed to an all-stock merger of equals valued at $18 billion. According to an Insurance Journal report, upon completion of the merger, Willis shareholders will own approximately 50.1 percent and Towers Watson shareholders will own approximately 49.9 percent of the combined company. The combined company will be named Willis Towers Watson and be domiciled in Ireland.
In the second transaction of the week, ACE Limited has agreed to acquire The Chubb Corporation for $28.3 billion in cash and stock. As of December 31, 2014, on an aggregate basis, the combined company had total shareholders’ equity of nearly $46 billion and cash, investments and other assets of $150 billion. The combined company will use the Chubb name.