America For Sale
Kirim ke email temanEconomy in Crisis - Published 07/24/08
Jeff Bennett
Japanese company Tokio Marine Holdings Inc. is poised to buy American insurer Philadelphia Consolidated Holding Corp. for around $4.7 billion, according to Reuters. Tokio Marine, the largest Japanese insurer, will acquire Philadelphia Consolidated entirely with cash, paying $61.5 for each share. This marks the biggest U.S. acquisition by a Japanese financial firm ever.
Philadelphia Consolidated revenues have increased annually since 2004, earning $326.8 million in domestic profits last year. Soon, this company will no longer produce national returns, but will benefit solely Japan’s financial institutions. The U.S. is indebted $571.2 billion to Japan, America’s number one purchaser of debt. The interest earned from these holdings is coming back to buy out America.
The sale of Philadelphia Consolidated marks the loss of another company in America’s ‘everything must go’ sale. American acquisitions are a worldwide trend where foreigners are decreasing their exposure to the declining dollar by using it to purchase American companies.
Source Reuters:
| Tokio Marine Holdings Inc (8766.T: Quote, Profile, Research, Stock Buzz) will buy property and casualty insurer Philadelphia Consolidated Holding Corp (PHLY.O: Quote, Profile, Research, Stock Buzz) for about $4.7 billion, in the largest acquisition by a Japanese financial firm in the United States.
… Sumi told Reuters earlier this month that he was looking at opportunities to acquire U.S. and European competitors to expand outside Japan, where it still generates four-fifths of its profits. … Philadelphia Consolidated’s net profit totaled $326.8 million in the year to December 2007, up 13 percent from a year earlier and more than double from two years prior. … It is the biggest U.S. acquisition by a Japanese financial firm on record and the second-biggest cross-border deal by a Japanese firm this year, according to Thomson Reuters data. |
Akses Jurnal Ekonomi Ideologis berdasarkan kata kunci:
Economy in Crisis, Philadelphia Consolidated Holding Corp., Tokio Marine Holdings Inc.
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