Tryring to find a 'white knight' to save them shows how desperate..
..a situation TWGP finds themselves in. I mean these guys have rolled up and been buyers of insurance companies for years. All of a sudden they want to sell at the worst possible moment, while their share price is tanking?
TWGP may have some serious troubles, and the writeoffs may greatly exceed what they have estimated (publically) so far.
Scary time for these guys. Could be an opportunity, but their desperation certainly makes me very wary.
Bad sign. If the under reserving was of the magnutude they'd previously said, they should be able to weather this in decent shape, and, most importantly, keep their rating. The attempt to sell indicates that the real number is likely far higher and would put the company in peril of losing its rating, and maybe more. They need capital and the problem for a prospective buyer is how to credibly verify the actual reserves needed and which businesses need to be shut down in order to not incur further liabilities.
This type of situation rarely ends well; it's possible that it could, but tough spot.