Exor reopen the negotiating table. The holding company of the Agnelli family would have restarted the dialogue interrupted in May 2020, due to the pandemic crisis, with the French Covea regarding the sale of the American subsidiary PartnerRe. The valuation under discussion would be close to the value of the Memorandum of Understanding announced on March 3, 2020 at which John Ellkan was willing to sell, i.e. 9 billion euros. News that marks a good start to the week for Exor, which set a new record at Piazza Affari: +5,38% to 79,10 euros at 10 am on 24 October 2021.
The billion dollar deal was off due to the pandemic. The great uncertainties on the global economic prospects and the request of the French to review the assessments previously agreed in the light of the current global context, had interrupted the operation. Exor had not agreed to change the financial terms of the deal, believing the reinsurance group hadn't been particularly affected by the health crisis. The transaction should have been completed with cash payment by the end of the year and would have allowed Exor to budget a net gain of approximately 3 billion dollars.
The case ended without aftermath in court. The parties had reached an agreement under which the French group would invest 1,5 billion, half with Exor and half in special purpose reinsurance vehicles managed by PartnerRe.
