Chinese conglomerate Fosun International, fresh off the heels of purchasing Bermuda-based
Ironshore Insurance for $1.84 billion, is slated to continue its acquisition spree by raising as much as $1.2 billion for new purchases, according to a term sheet obtained by
Bloomberg.
The document detailed the intricacies of the plan, which involves Fosun selling shares for HK$19.48 to HK$20.32 and using the funds in part to finance additional insurance industry acquisitions.
Billionaire Chairman and CEO Guo Guangchang told
Bloomberg last month that he had “many deals” in the works and indicated that he “definitely” hoped to target insurers throughout the United States and Europe.
These transactions would follow a series of acquisitions on behalf of the Chinese conglomerate, which has spent $25 billion on overseas purchases since 2010. These include:
- Gaining control of French resort Club Mediterranee by outbidding rivals
- Obtaining a 35% stake in Italian suit maker Raffaele Caruso S.p.A.
- Acquiring One Chase Manhattan Plaza, which it renamed 28 Liberty
- Purchasing Michigan-based Meadowbrook Insurance Group for $433 million
- Buying high-profile property in London, Tokyo and Sydney
- Acquiring Portguese insurance company Caixa Seguros for $1.36 billion
While Fosun did not reveal who it is looking to acquire,
Caixin magazine said it has its sights on three to four insurance organizations, both domestic and abroad.
Multiple outlets reported that Citigroup, Morgan Stanley, UBS AG, Goldman Sachs., Hani Securities and CMB International Capital Corp. will be the banks serving as bookrunners for the deal.
