Hastings has confirmed that it is holding discussions with Sampo and RMI limited regarding a “possible” cash offer that could see the investors take over the share capital of the insurer.
According to the group, it comes as Sampo has “continuously” considered strategic moves to accelerate its growth, and is now looking to expand into non-life insurance offerings.
RMI, meanwhile, is currently a 29.7% shareholder of the insurer, having first invested in the group in 2017. It is now seeking to acquire the remaining shares of the group in line with its “long-term investment horizon”.
Hastings said while “there is no certainty” that any firm offer will be made, it has established an independent committee of the board, excluding Herman Bosman the RMI representative, to consider the approach and possible cash offer
A statement from Hastings read: “The company confirms that it has been approached by Sampo Oyj and Rand Merchant Investment Holdings Limited (the Consortium) regarding a possible cash offer for the issued and to be issued share capital of Hastings not already owned or controlled by the Consortium.”
Confirming the approach Sampo said in a statement: “Sampo and RMI confirm that they are in discussions with Hastings regarding a possible cash offer to acquire the issued and to be issued share capital of Hastings not already owned or controlled by Sampo and RMI.”
If the deal does indeed go ahead Hastings will follow rival Esure – which was taken private by Bain Capital in 2018 in a £1.2bn deal.