GENERALI PREPARES FOR LARGE ACQUISITION, BUT NOT IMMEDIATELY

Italy-based insurer Generali is preparing to launch a large acquisition, according to Generali chairman Antoine Bernheim. Speaking at the company’s annual general meeting on Friday, he said that Generali was ready to launch a capital increase to fund the deal. However, he then dampened speculation that a move was imminent by stating that an acquisition was not “an immediate issue” because all possible targets were currently very expensive. With about 2bn euro available in cash, analysts noted that, for a capital raising exercise to be necessary, any planned deal would probably be in the 2bn euro to 4bn euro range. The company had previously stated that it was interested in expanding further in China and eastern Europe.