Chicago-based Aon insurance brokerage will purchase Benfield Group Ltd., the London-based reinsurance brokerage, for $1.75 billion (?935 million) and the assumption of $170 million of the company's debt.
The cash deal represents a purchase price of $6.55 (?3.50) a share for shareholders, 29 percent above the closing price of Benfield's closing stock price yesterday.
The deal, which puts together two companies that fought a court battle over staff recruitment, is expected to be completed by the end of this year with cash on hand, Aon said.
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