A surprisingly high percentage of mergers and acquisitions (M&A) are contested by shareholders, which involve Directors & Officers (D&O) Insurance claims. According to a recent analysis by Cornerstone Research (see here), 94% of deals valued in excess of $100 million during 2013 were challenged by shareholders, up from 93% in 2012.
The analysis is based on a review of shareholder suits, typically class actions, filed by shareholders of public companies. According to the study, 612 suits were filed, with each deal averaging 5 suits. The study does not include statistics for contested M&A deals regarding private companies.
Tennant Risk Services is a specialty wholesale broker and underwriting manager, and delivers expertise, markets and exemplary services to our retail insurance agent clients in the placement of professional liability insurance (E&O, D&O, EPL, Cyber). We excel at all professional liability segments and classes, including D&O, particularly hard to place accounts. Review our expectations here.
Specialty Insurance Expertise: Tennant Risk Services