CastlePoint Taller with Tower Grp

Tags: cphl, twgp
2 Dec 11:53pm
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CastlePoint Holdings Ltd. (CPHL) is a Bermuda-based holding company providing property and casualty insurance and reinsurance business solutions, products and services primarily to small insurance companies, and program underwriting agents (PUAs) in the United States.

The company announced its potential acquisition by the Tower Group (TWGP). Since inception, CastlePoint has derived over 70% of its revenues from TWGP as its primary reinsurance client. The acquisition is expected to close in December 2008.

We maintain a Buy rating on the shares of CPHL as the price offered by TWGP offers a premium over CPHL's current price, which is enhanced by the time left before the close.

Read the full analyst report on CPHL

Read the full analyst report on TWGP




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