Shares of U.K. cyber insurer Beazley (GB:BEZ) rallied more than 40% on Monday after Switzerland’s Zurich Insurance (CH:ZURN) made an improved bid of £7.67 billion ($10.3 billion) to acquire the company. Zurich said that it has now made an offer of 1,280 pence per share in cash to acquire Beazley, reflecting a 56% premium to BEZ’s closing stock price on January 16, 2026.
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Here Is Why Zurich Is Keen to Acquire Beazley
Following its previous offers, on January 4, 2026, Zurich submitted a proposal to Beazley’s board to acquire the company at 1,230 pence per share in cash. However, on January 16, Beazley’s board turned down the offer, saying it significantly undervalued the company.
Zurich believes that its proposal provides Beazley shareholders “immediate and certain cash value for their investment” at a level that surpasses what the latter could achieve through the execution of its strategy, as set out at the Capital Markets Day on November 25, 2025. The company also believes that its offer fully reflects Beazley’s fundamental value.
Notably, Zurich, a dominant player in commercial lines insurance, believes that the proposed acquisition would create a global leader in specialty insurance. It believes that a potential deal would combine two highly complementary businesses and establish a leading global specialty platform, leveraging Beazley’s Lloyd’s of London presence.
Is Beazley Stock a Buy, Sell, or Hold?
Beazley scores a Strong Buy consensus rating based on nine unanimous Buys. The average BEZ stock price target of 1,017.22 pence per share indicates 13% downside risk.
