said Tuesday it has agreed to buy municipal bond insurer
Enhance Financial Services Group
for about $540 million in stock.
Under the terms of the deal, Radian will exchange 0.22 Radian shares for each share of Enhance, which values Enhance at about $14.12 per share.
Philadelphia-based Radian said the deal "accelerates Radian's long-term, strategic plan to diversify across the credit enhancement spectrum."