Beazley Walks Away from Hardy Underwriting After Third Bid Is Shunned

Beazley Plc has reported that it's ended talks to buy Hardy Underwriting Bermuda Ltd. after the Lloyd’s of London insurer denied a third, sweetened bid of about $287 million.

Published on December 15, 2010

Hardy requested a price “substantially in excess” of the 350 pence a share Beazley offered on Dec. 1, the Dublin-based company said in a statement today. The fifth-biggest Lloyd’s insurer originally offered 300 pence a share in October, before raising its bid to 330 pence, or 171 million pounds, last month.

“I’m surprised, because the price is a good premium to where the share price was at 220 pence before we approached,” Beazley Chief Executive Officer Andrew Horton said in a telephone interview with Bloomberg. His company will now concentrate on expanding its operations in the U.S. and Europe while considering smaller “bolt on” acquisitions, he said.