Cendant Corporation and American Bankers Insurance Group Reaffirm Merger Agreement

Strategic Insights -

Cendant Corporation and American Bankers Insurance Group Inc. have jointly reaffirmed their commitment to completing the merger agreement, valuing at approximately $3.1 billion. The acquisition, valued at $67 per share, is expected to be completed by late summer, pending regulatory approval. Cendant's President and Chief Executive Officer, Henry R. Silverman, expressed enthusiasm for the combination, citing the opportunities for growth and expansion.

Key Takeaways:

  • The merger agreement between Cendant Corporation and American Bankers Insurance Group Inc. has been reaffirmed, with a total consideration of approximately $3.1 billion.
  • The acquisition price is valued at $67 per share, with the transaction expected to be completed late summer.
  • Cendant operates in three principal segments: Alliance Marketing, Travel and Real Estate Services, with a global presence in over 100 countries and more than 34,000 employees.
  • American Bankers Insurance Group Inc. concentrates on marketing affordable specialty insurance products and services through financial institutions, retailers, and other entities offering consumer financing.
  • Cendant's President and Chief Executive Officer, Henry R. Silverman, expressed optimism about the combination, citing opportunities for growth and expansion.
  • Cendant Corporation has a global presence, operating in over 100 countries, with more than 34,000 employees.
  • The company makes approximately 100 million customer contacts annually, providing a range of consumer and business services.
  • American Bankers Insurance Group Inc. operates in the United States, Canada, Latin America, the Caribbean, and the United Kingdom, with a focus on marketing affordable specialty insurance products and services.
  • The merger agreement is valued at approximately $3.1 billion, with a transaction price of $67 per share.

Statistics:

  • Merger agreement consideration: approximately $3.1 billion
  • Transaction price: $67 per share
  • Cendant Corporation global presence: 100+ countries, with more than 34,000 employees
  • Annual customer contacts: approximately 100 million
  • American Bankers Insurance Group Inc. regional presence: United States, Canada, Latin America, Caribbean, United Kingdom
  • Acquisition price: $67 per share

Sources:

  • "Cendant Corporation and American Bankers Insurance Group Reinforce Merger Agreement" - Business Wire, April 17, 1998
  • Cendant Corporation homepage
  • American Bankers Insurance Group Inc. homepage