Exor’s debt irrelevant in PartnerRe battle: S&P
Rating agency Standard & Poor’s (S&P) has affirmed Exor’s argument that its debt will not impact its operating subsidiaries as the struggle for PartnerRe rages on.
Previously, Bermuda-based PartnerRe had argued that the additional debt taken on by Exor as part of the transaction would pose a “considerable risk that the rating of (PartnerRe) preferred shares would be downgraded upon sale to Exor.”
In a statement, the Italian investment company said that S&P had affirmed that, as an investment holding company, Exor’s rating and the ratings of its investee companies are independent of one another.
“The PartnerRe board has approved an inferior transaction in the form of the proposed Axis amalgamation, which it continues to support by deliberately providing its shareholders with misleading and incorrect information as a scare tactic to lure votes for the Axis transaction,” said Exor.
“Exor calls on PartnerRe to cease misrepresenting facts and to provide shareholders with accurate information. This will allow shareholders to act in their best interest and vote against the Axis transaction with confidence.”
The investment company added that it will begin meeting with PartnerRe investors and analysts to highlight the considerable strengths of its offer for both common and preferred shareholders and to correct misleading statements by PartnerRe.
