Fairfax to pay $4.9B for Allied World

Canada's Fairfax Financial has swooped on Allied World with
an agreed $4.9bn bid that will give the target's shareholders
up to 27 percent of the enlarged company.
Fairfax is offering $54 per Allied World share for the company,
through a potentially moveable combination of stock and cash.
Fairfax pegged the value of the offer at 1.35x Allied
World's diluted book value as of 30 September.The $54 per share "base" offer includes $10 in cash
and $44 in Fairfax shares,...