Chubb ‘Disappointed’ That Hartford Rejected $23 Billion Offer

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Mar 29 2021, 6:42 PMMar 29 2021, 8:23 PMMarch 29 2021, 6:42 PMMarch 29 2021, 8:23 PM

(Bloomberg) -- Chubb Ltd. said it’s “disappointed” that Hartford Financial Services Group Inc. wouldn’t engage in talks after rejecting its $23 billion takeover proposal.

The Connecticut-based insurer turned down Chubb’s $65-a-share offer last week, saying that entering into talks wasn’t in the best interest of investors and the company. Chubb, led by Evan Greenberg, said Monday in a statement that the firm has created an “unsurpassed” franchise in the industry and continues to believe it can capitalize on favorable market conditions.

“Although we were disappointed that the Hartford chose not to engage in discussions regarding a strategic business combination, our shareholders demand of us, and we demand of ourselves, that we remain a disciplined acquirer with an uncompromising focus on the fair value of any institution that we could acquire,” Chubb said.

The deal would have been one of Chubb’s largest since Greenberg fused Ace Ltd. with Chubb Corp. in 2016. Hartford has been derisking in recent years, shedding an annuity operation, but the stock was beaten down last year with shares underperforming the S&P 500 Index as the pandemic and resulting lawsuits over business-interruption coverage weighed on the insurer.