US

Tokio Marine buys Philadelphia Consolidated

Japanese insurance group Tokio Marine Holdings has made its first major acquisition in the US in an agreement to buy 100% of Philadelphia Consolidated Holding Corp, a US property & casualty group. The acquisition, which will be made through Tokio Marine Holding’s subsidiary Tokio Marine & Nichido Fire Insurance Co, is part of the group’s strategy to expand outside its domestic market. Earlier this year, Tokio Marine acquired Kiln Ltd. “Combined with the recently completed acquisition of Kiln, we have established a strong presence in both key US P&C and London insurance markets”, the group said. Tokio Marine will pay US$4.7bn for Philadelphia Consolidated, and at $61.50 per share this represents a 67% premium over the average share price this year.