The long nightmare that is Tower Group (TWGP)
now has an end in sight. Assuming that a sufficient number of Tower
shareholders approve, and that the company doesn't go insolvent before
the deal closes, Tower will be selling itself to ACP Re, a privately-held insurance company controlled by the founder of AmTrust Financial Services (AFSI).
As huge reserve charges had severely depleted the company's capital and
led to downgrades that essentially excluded it from the market, I
believe this is the best outcome that shareholders could reasonably ask
for or expect.
Follow this link for more:
Tower Group Manages To Preserve Some Value
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