Hartford Financial Services Group Inc. announced Tuesday its board of directors rejected Chubb Ltd.’s unsolicited proposal for its acquisition.
The board determined that entering into discussions “regarding a strategic transaction would not be in the best interests of the company and its shareholders.” It reaffirmed its commitment and resolve in the continued execution of The Hartford’s strategic business plan” as a stand-alone company, it said.
Zurich, Switzerland-based Chubb offered on March 11 to buy The Hartford at $65 a share, a 13% premium for shareholders of The Hartford.
The offer valued The Hartford at about $23 billion.
Shares of The Hartford fell less than 1% at the start of trading, to $66.77. Chubb rose slightly, to $157.41.
A spokesman for Chubb did not immediately respond to a request seeking comment.
The rejection of Chubb’s offer will be seen as good news in the city and in Connecticut generally after a string of corporate headquarter exits. General Electric Co. left for Boston in 2016, Aetna was purchased by Rhode Island-based CVS Health Corp. in 2018 and United Technologies Corp. merged with Raytheon Co. and moved to Waltham, Mass. last year.
In addition, the possibility of losing jobs in an acquisition coincided with the pandemic that’s expected to change how many workers will return regularly to offices in downtown Hartford.
