Shares of Chubb Corp (CB) spiked to finish Thursday's regular trading session sharply up after the company was acquired by peer ACE Ltd (ACE) in a mega transaction deal, making it TheStreet's Move of the Day. Chubb announced it is being bought by fellow luxury insurer ACE for $28.3 billion in cash and stock. Chubb holders will get $62.93 in cash and 0.6019 shares of ACE, which values the company at $124.13 a share. That price represents a 30% premium from Tuesday’s close. TheStreet's Jim Cramer, Portfolio Manager of the Action Alerts PLUS Charitable Trust Portfolio called the merger a 'monumental deal.' He called Chubb the most pristine insurer in the country. The combined company will be based in Zurich, but keep the bulk of its operations in New Jersey and also in Philadelphia, Penn. The companies expect to complete the deal during the first quarter of 2016. After the closing of the deal, Ace will own 70% of the company. Chubb shares finished the regular session up more than 26% on very heavy trading volume, making the top performing S&P 500 component on the day. TheStreet's Kurumi Fukushima reports in New York.
More from Video
Amid the Selling, Here's the Big Question Now
How quickly do we find support, is what we'll want to know now, as the correction is occurring while economic optimism builds.
One Tweet Pulls the Rug Out From Under the Indexes
Despite the president's promise of no stimulus until after Nov. 3, there are no signs yet that this is the sort of correlated selling that leads to a deep correction.
A Technical Look at the New Dow Jones Industrial Average
Salesforce, Amgen and Honeywell will give a lift to the DJIA going forward.
Conagra Brands Looks Tastier After Its Upgrade to Buy
CAG has hung onto the bulk of its recent gains, and could rise to the $50 area, according to the charts and indicators.
Biogen Bulls Get a Lift From Quant Upgrade and Strengthening Charts
Breaking down an approach to the long side of this biotech stock.