Merger Announcement: Sompo Holdings, Inc. has entered into a definitive merger agreement to acquire 100% of Aspen Insurance Holdings Limited's Class A ordinary shares for $37.50 per share in cash, totaling approximately $3.5 billion.
Strategic Benefits: The acquisition enhances Sompo's portfolio diversification and global scale, providing access to specialty insurance and reinsurance markets while strengthening underwriting expertise.
Financial Impact: The transaction is expected to be immediately accretive to Sompo's return on equity (ROE) and contribute significantly to its financial profile, with identified cost and capital synergies.
Transaction Details: The merger has been unanimously approved by both companies' Boards and is anticipated to close in the first half of 2026, pending regulatory approvals and customary closing conditions.
Wall Street analysts forecast AHL stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for AHL is 37.50 USD with a low forecast of 37.50 USD and a high forecast of 37.50 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
1 Analyst Rating
Wall Street analysts forecast AHL stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for AHL is 37.50 USD with a low forecast of 37.50 USD and a high forecast of 37.50 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
0 Buy
1 Hold
0 Sell
Hold
Current: 37.260
Low
37.50
Averages
37.50
High
37.50
Current: 37.260
Low
37.50
Averages
37.50
High
37.50
Piper Sandler
Overweight -> Neutral
downgrade
$40
2025-11-14
Reason
Piper Sandler
Price Target
$40
AI Analysis
2025-11-14
downgrade
Overweight -> Neutral
Reason
Piper Sandler downgraded Aspen Insurance (AHL) to Neutral from Overweight with a price target of $37.50, down from $40, after the company agreed to be acquired by Sompo Holdings (SMPNY) for $37.50 per share.
BMO Capital
Michael Zaremski
Outperform -> Market Perform
downgrade
$38
2025-08-29
Reason
BMO Capital
Michael Zaremski
Price Target
$38
2025-08-29
downgrade
Outperform -> Market Perform
Reason
BMO Capital analyst Michael Zaremski downgraded Aspen Insurance (AHL) to Market Perform from Outperform with a price target of $37.50, down from $38. The downgrade comes after the announced Sompo (SMPNY) takeout, with the new $37.50 price target equal to the announced deal price, the analyst tells investors in a research note. The firm also noted that multiple news sources have reported that Enstar is suing Aspen with respect to details around the loss portfolio transfer agreement.
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Jefferies
Buy
to
Hold
downgrade
$38
2025-08-29
Reason
Jefferies
Price Target
$38
2025-08-29
downgrade
Buy
to
Hold
Reason
Jefferies downgraded Aspen Insurance (AHL) to Hold from Buy with a price target of $37.50, down from $38, after the company agreed to be acquired by Sompo Holdings (SMPNY) for $37.50 per share.
Citi
Buy -> Neutral
downgrade
$43
2025-08-28
Reason
Citi
Price Target
$43
2025-08-28
downgrade
Buy -> Neutral
Reason
Citi downgraded Aspen Insurance (AHL) to Neutral from Buy with a price target of $37.50, down from $43, after the company agreed to be acquired by Sompo Holdings (SMPNY) for $37.50 per share, or $3.5B in cash. Citi sees a low likelihood of a competing takeover bid emerging for Aspen.
About AHL
Aspen Insurance Holdings Limited is a Bermuda-based holding company. The Company provides insurance and reinsurance coverage to clients in various domestic and global markets through wholly owned operating subsidiaries in Bermuda, the United States and the United Kingdom, as well as its branch operations in Canada, Singapore and Switzerland. It manages its underwriting operations as two business segments: Insurance and Reinsurance. The Insurance segment underwrites primarily specialty risks across a diversified set of property and casualty lines of business. The Insurance segment is organized into four primary portfolios of business: financial and professional lines; casualty and liability lines; first party lines, and specialty lines. The Reinsurance segment is organized into four portfolios: casualty reinsurance, property catastrophe reinsurance, other property reinsurance and specialty reinsurance. Its casualty reinsurance is written on an excess of loss and proportional basis.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
