Japan's Tokio Marine eyes insurer Suncorp as preferred takeover target, FT reports

Aug 25 : Japanese insurer Tokio Marine has identified Australian insurer Suncorp as a preferred takeover target after reviewing several potential options, the Financial Times reported on Tuesday, citing people familiar with the matter.

Tokio Marine reviewed several takeover targets over the past months, including Insurance Australia Group and Suncorp, as well as Canada's Intact Financial Corp, the report said.

Two people with direct knowledge of the matter told the FT that Suncorp had emerged as the preferred target for the Berkshire Hathaway-backed Japanese insurer, with the Canadian general insurer deemed too large.

The sources warned that discussions were ongoing and there was no certainty a deal would result, the report said.

CNA Games Guess Word Crack the word, one row at a time Buzzword Create words using the given letters Mini Sudoku Tiny puzzle, mighty brain teaser Mini Crossword Small grid, big challenge Word Search Spot as many words as you can Show More Show Less Suncorp and IAG declined to comment on the report, while Tokio Marine did not immediately respond to a Reuters request for comment. Reuters could not immediately confirm the report. Shares of both Australian insurers jumped after the report, rising between 5 per cent and 6 per cent to lead gains on the benchmark ASX 200 index and the financials sub-index, which were up 0.6 per cent and 0.9 per cent, respectively. ($1 = 1.3980 Australian dollars)

Suncorp and IAG declined to comment on the report, while Tokio Marine did not immediately respond to a Reuters request for comment. Reuters could not immediately confirm the report.

Shares of both Australian insurers jumped after the report, rising between 5 per cent and 6 per cent to lead gains on the benchmark ASX 200 index and the financials sub-index, which were up 0.6 per cent and 0.9 per cent, respectively.

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