Printer Friendly

CHUBB CORPORATION AND SUN ALLIANCE GROUP JOINT ANNOUNCEMENT REGARDING SHAREHOLDINGS

 CHUBB CORPORATION AND SUN ALLIANCE GROUP
 JOINT ANNOUNCEMENT REGARDING SHAREHOLDINGS
 WARREN, N.J., Nov. 5 /PRNewswire/ -- The Chubb Corporation (NYSE: CB) of the United States and Sun Alliance Group plc of the United Kingdom announced today that each company has decided to partially reduce its investment in the shares of the other. Upon completion of the transactions described below, Chubb will continue to hold approximately 3 percent of the outstanding ordinary shares of Sun Alliance, compared with its previous holding of about 9 percent. Sun Alliance Group plc will retain 5 percent of The Chubb Corporation's common stock, compared with about 9 percent that it held formerly. Both Chubb and Sun Alliance said that they view their remaining holdings as long-term investments.
 Chubb sold today 47,500,000 shares of Sun Alliance to S.G. Warburg Securities, Morgan Stanley Securities and Goldman Sachs Equity Securities (U.K.) who have placed the shares in the market. Chubb will realize a gain from the sale of approximately $50 million after taxes in the fourth quarter.
 Sun Alliance intends to sell 3,400,000 shares of Chubb by means of a secondary offering to U.S. investors commencing today and to be managed by Morgan Stanley & Co. Incorporated, Goldman Sachs & Co. and S.G. Warburg Securities. Sun Alliance will make a further announcement giving details of the proceeds of the offering in due course.
 Sun Alliance and Chubb said that these actions reflect financial management decisions and do not affect the on-going business relationship between the two insurance groups which dates back to 1882. The relationship has included exchanges of reinsurance which continue to this day. Recently, Chubb and Sun Alliance announced a joint venture in the U.K. to offer "Masterpiece", which provides insurance coverages for high-valued homes and personal property. Chubb and Sun Alliance will continue to explore opportunities for cooperation in major insurance markets around the world where Chubb and Sun Alliance have complementary objectives.
 Commenting on the transaction, Mr. Roger Neville, Group Chief Executive of Sun Alliance, said "This and other recent sales have enabled us to adjust the balance and profile of our investment portfolio. However, we shall continue to retain a substantial shareholding in the most successful insurer in the U.S."
 Mr. Dean O'Hare, Chairman of The Chubb Corporation, said: "The partial sale of our holding in Sun Alliance will allow us to diversify our investments, while still leaving us as one of the largest shareholders in the U.K.'s strongest composite insurance group."
 The Chubb Corporation is a holding company principally engaged in property and casualty insurance, life and health insurance and real estate development. Revenues in 1991 were $4.5 billion.
 Sun Alliance Group plc is the largest underwriter of general insurance business in the U.K., and a leading life assurance group. Total worldwide premium income in 1991 was 3.7 billion.
 -0- 11/5/92
 /CONTACT: Gail E. Devlin, 908-580-3245, or Glenn A. Montgomery, 908-580-2365, both of The Chubb Corporation; T. A. Hayes, (in London) 071-826-1226, T. S. Nelson, (in London) 071-826-1900, or N. P. Bunker 071-588-2345 ext. 2330, all for Sun Alliance Group plc/
 (CB) CO: The Chubb Corporation; Sun Alliance Group plc ST: New Jersey IN: INS SU:


TS -- NY015 -- 2819 11/05/92 08:02 EST
COPYRIGHT 1992 PR Newswire Association LLC
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 1992 Gale, Cengage Learning. All rights reserved.

Article Details
Printer friendly Cite/link Email Feedback
Publication:PR Newswire
Date:Nov 5, 1992
Words:548
Previous Article:AFFYMAX REPORTS THIRD QUARTER RESULTS
Next Article:FIRST-TIME INVESTORS MOVE INTO MUTUAL FUNDS, SEEK HELP WITH MUTUAL FUND BASICS
Topics:


Related Articles
THE CHUBB CORPORATION REPORTS RESULTS
CHUBB CORP. REPORTS 1996 FIRST QUARTER EARNINGS OF $1.55 PER SHARE VS. $1.64 A YEAR AGO
A.M. BEST PLACES RATING OF SUN ALLIANCE PLC, ROYAL INSURANCE PLC, UNDER REVIEW WITH DEVELOPING IMPLICATIONS
CHUBB TO SELL INTEREST IN HMO TO HEALTHSOURCE
Jefferson-Pilot Completes Purchase of Chubb Life
Chubb Sells Commercial Real Estate Assets
Chubb to Acquire Approximately 27% of Hiscox plc from Trident.
Chubb to Acquire Executive Risk; Conference Call at 9:00 A.M. EST Today.
Chubb Agrees to Sell Its Interest In Associated Aviation Underwriters, Inc.
Chubb Completes Sale of Its Interest in Associated Aviation Underwriters, Inc.

Terms of use | Copyright © 2016 Farlex, Inc. | Feedback | For webmasters