you have to think alot of insurnce companies want the 1.6bb in revenue
even if they have to captilaize it with 150mm , easy integration for a good co. cut a ton of costs on mgmt side. re#$%$ risk on new paper. the company ca gen 80mm ob the bottom line with normal ratios. thier is no way this does not get acquired. the question is what type of Premium off current PPS. i want to say its worth 12.50 but take out the goodwill, the mgmt fiasco in managing risk you easily get 9-10. heck, if i was a mukti intnerational in the space. i would be jump on it . considering it was a 20 pps stock for 10 yrs. nice delta.
No company will buy another one where the business is both underpriced and the magnitude of future liabilities is unknown/uncertain. They don't care about the premium/revenue, they care about the profit.
easy matrix to model against. this space is a science not a tea leave. they wrote bad paper. which they acquired in a previous acquaition. they will value paper at a 70% ratio. good to bad. it should be at around 50% or close to it. remmeber tower was fine until some dumb acqusiiton with bad DD: