Zurich Acquires Beazley in Landmark Specialty Insurance Merger

Jordan Hartwell

Published: February 4, 2026 4:02 AM ET

Zurich Acquires Beazley in Landmark Specialty Insurance Merger

Zurich Insurance Group has reached an agreement in principle to acquire Beazley, a UK-based specialty insurance company. This landmark merger represents a significant move in the insurance industry, creating a global leader with substantial market presence.

Details of the Acquisition

The proposed acquisition values Beazley at 1,335 pence per share. This includes a cash payment of 1,310 pence from Zurich, as well as a dividend of up to 25 pence for Beazley shareholders. Notably, this offer provides a 59.8% premium compared to Beazley’s closing price recorded on January 16, 2026, and a 34.6% increase over its all-time high share price.

Previous Offers and Rejections

At the start of January, Zurich initially offered 1,230 pence per share, which Beazley rejected, citing that it undervalued the company.
Later, Zurich raised its offer to 1,280 pence per share in a public bid, aiming to acquire 100% of Beazley for approximately £7.7 billion.
This second proposal was also rebuffed by Beazley’s board, emphasizing the company’s strong growth prospects.

However, the latest statement from Beazley’s board indicates that they are now inclined to recommend the new proposal to shareholders, pending formal documentation.

Implications of the Merger

Should this acquisition proceed, it will create a global specialty insurance entity with an estimated $15 billion (£10.9 billion) in gross written premiums. The merger will also enhance Beazley’s existing position within the Lloyd’s of London market.

Next Steps

Under the UK Takeover Code, Zurich must announce a definitive offer or withdraw by 5 PM on February 16, 2026. While this agreement is a significant step, it remains a possible offer, and uncertainty persists regarding the final outcomes.

Market Reactions

Following the announcement, Beazley’s shares rose nearly 9%, reflecting investor optimism. Since January’s discussions of a potential acquisition, Beazley’s stock has surged nearly 55% over the past month.

This proposed merger underscores the dynamic nature of the specialty insurance sector and reflects Zurich’s ongoing strategy to expand its market footprint in the UK and beyond. For ongoing updates about this possible acquisition and its implications for the insurance market, visit Filmogaz.com.