Oliver Bäte apparently wasn’t kidding back in the spring when he said that “those who don’t grow, die.” It’s a pressure the Allianz CEO has faced from investors ever since he took over Europe’s largest insurer in October 2014. Over the past few months, Mr. Bäte seems to be finally getting out of the starting gates.
In August, Allianz said it planned to acquire Britain’s Liverpool Victoria by 2019 for €770 million ($916 million). On Monday, the Munich-based insurer went one better, announcing plans for a complete takeover of Paris-based Euler Hermes, of which it already owns 63 percent, for up to €1.85 billion.
These two deals came after a long and painstaking search. In a statement, Allianz said the takeover of Euler Hermes, which was founded in Berlin and primarily offers trade credit insurance for exporters, was a “logical step.” Both insurers have already been working together closely. Analysts point to plenty of synergies between the two companies, and shares rose slightly.