Paris-headquartered international reinsurer SCOR is under examination in connection with an alleged attempt by former CEO the late Denis Kessler to obstruct the 2022 takeover of PartnerRe by Covéa. The French reinsurer has denied any involvement.
The French financial prosecutor’s office is reportedly investigating an alleged effort to block the €7.7bn acquisition of Bermuda-based reinsurer PartnerRe by Covéa in 2022.
The probe by French authorities centres on actions allegedly taken linked to the late Denis Kessler (pictured), SCOR’s former chairman and chief executive, who died in 2023.
SCOR has been placed under examination as a legal entity because of Kessler’s alleged personal involvement during his time as the reinsurer’s non-executive chairman, despite no longer serving as the company’s legal representative at the time, having stepped down as CEO in mid 2021.
In July 2022, Covéa completed the acquisition of PartnerRe from Exor for $9.3bn, a cash value based on PartnerRe consolidated common shareholders’ equity at the end of 2021.
The on-off-on merger deal was announced in March 2020 but was for a time derailed amid an attempt by Covéa to renegotiate the initial price.
In a statement, SCOR said: “SCOR SE firmly denies having had any direct or indirect involvement in the acts of which this association is accused.”
The reinsurer added that the probe does not affect day-to-day operations.
“In any event, SCOR SE is presumed innocent, and vigorously denies any responsibility in connection with this matter,” it said.
Denis Kessler, who led SCOR for nearly two decades, stepped down as chairman in 2023 and passed away later that year.
A Goldman Sachs analyst commented: “While we take no view on the outcome of the examination, until resolved, it provides an unhelpful overhang, even if there is no impact on the group’s ability to pursue its activities in the normal course of business.”
No comments yet