The unprecedented events of the first six (6) months of 2020 have thrown up unique challenges for all businesses. Those in the insurance industry are no exception. But as the economy moves towards a state of stability that could be defined as ‘the new normal’, opportunities will arise and reinsurance businesses around the world will look at every avenue to generate a positive return for their shareholders.
According to the report from Clyde & Co, it is predicted that mergers and acquisitions will remain an attractive strategy to deliver growth. In the first half of 2020, completed M&A in the global insurance industry held steady with 201 completed deals worldwide, up from 197 in the second half of 2019. Moreover, the report expects an increase in the number of targets being offered for a sale and a greater interest in legacy business in the insurance and reinsurance industry, which could lead to an upsurge in deal activity. High-quality tech offerings are still attractive, provided they can continue to prove their worth. Start-ups now reaching maturity with a proven track record ripe for acquisition and this is expected to be a key deal driver in H1 2021. SOURCE:https://www.clydeco.com/en/reports/2020/08/insurance-growth-report-2020-mid-year-update This Post is for informational purposes only and does not constitute an offer, invitation or recommendation to buy, sell, subscribe for or issue any securities. While the information provided herein is believed to be accurate and reliable, TAG Financial Institutions Group, LLC and Ashland Securities, LLC make no representations or warranties, expressed or implied, as to the accuracy or completeness of such information. All information contained herein is preliminary, limited and subject to completion, correction or amendment. It should not be construed as investment, legal, or tax advice and may not be reproduced or distributed to any person. Certain Principals of TAG Financial Institutions Group, LLC are registered representatives of Ashland Securities, LLC Member FINRA, SIPC. TAG Financial Institutions Group, LLC and Ashland Securities, LLC are separate and unaffiliated entities. Securities and Investment Banking Services are offered through Ashland Securities, LLC. Comments are closed.
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