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Tower Australia Group Ltd (ASX:TAL) chairman Rob Thomas says he expects to see almost immediate benefits from Dai-ichi Life Insurance’s planned takeover of the company.
In December the insurance company recommended Dai-ichi's takeover offer for the 71 per cent stake of Tower that it does not already own, valuing the company at $1.76 billion.
While the deal is still subject to Australian and Japanese regulatory approvals, Tower yesterday confirmed it full endorses the all-cash offer.
The proposed deal is expected to be put to shareholders around April this year.
Dai-ichi Life Insurance is the second largest life-insurer in Japan and bought a 29 per cent interest in Tower for $376.3 million in 2008.
Tower Australia generated a net profit of $87.4 million in the year ended 30 September 2010.