St. Paul Travelers
reportedly is in discussions about a merger with Zurich Financial, in what could create a global insurance titan to compete with
American International Group
The talks are preliminary and could break down, and the transatlantic transaction could face insurmountable regulatory hurdles, the
Wall Street Journal
reported Friday. St. Paul's market capitalization is about $30 billion, about $3 billion less than Zurich, whose shares rose in European trading after the talks were reported.
On a total asset basis, Zurich, with about $340 billion, dwarfs St. Paul, which has about $113 billion. The companies did about $90 billion in revenue last year. By comparison, AIG does about $100 billion in annual revenue.
St. Paul shares closed at $42.96 Friday, down about 3% this year.