MONY Shareholders Approve Merger with AXA Financial at More Than 53%
May 18 2004 - 12:24PM
PR Newswire (US)
MONY Shareholders Approve Merger with AXA Financial at More Than
53% AXA Strengthens Its Position in the U.S. Market PARIS, May 18
/PRNewswire-FirstCall/ -- AXA announced that the shareholders of
The MONY Group, Inc. ("MONY") today approved the adoption of MONY's
merger with AXA Financial, Inc., at a special meeting held in New
York City, N.Y. A favorable vote by a majority of MONY's shares
outstanding was required for the merger to be approved and more
than 53% of the outstanding shares were voted in favor of the
adoption of the merger agreement. In particular, approximately 84%
of the retail votes cast were in favor of the merger. "We are
delighted that MONY shareholders have approved the merger with AXA
Financial. We look forward to closing this transaction as promptly
as practicable and do not currently anticipate that the level of
appraisal rights demands that have been received will change our
thinking," said Christopher "Kip" Condron, President and CEO of AXA
Financial. "MONY represents a complementary fit to AXA Financial's
insurance, annuity and asset management businesses, and we believe
that, together, we can strengthen our industry leadership. We have
been diligently planning how to integrate the two companies and are
awaiting the final regulatory approvals so that we can move
forward." Henri de Castries, AXA Group Chief Executive Officer,
commented, "With this transaction, we are reinforcing our already
strong U.S. position with additional distribution capabilities and
an enviable client base. The complementary nature of the
organizations and the resulting broader product and service
offering will benefit our customers, agents and distribution
partners." Under the terms of the merger agreement, AXA Financial
will acquire 100% of MONY, a U.S. financial services group,
headquartered in New York City, which, through its various
subsidiaries, manufactures and distributes life insurance, asset
accumulation and retail brokerage products and services to
individuals, corporations and institutions through advisory and
wholesale distribution channels. The cash transaction is valued at
$1.5 billion (approximately Euro 1.3 billion). The transaction,
which remains subject to regulatory approvals in the U.S. and
certain other closing conditions, is currently expected to close
late second quarter or early third quarter of 2004. Upon the
closing of the transaction, MONY shareholders will receive $31 in
cash for each share of MONY's common stock they own, plus an
estimated dividend of 33 to 35 cents per MONY share. The
transaction is expected to be accretive to AXA's earnings per share
in 2005. Redemption of ORAN The ORANs (1) issued by AXA to finance
this transaction will be automatically redeemed by the issuance of
one new ordinary AXA share for each ORAN at the latest 20 business
days after the closing date of the acquisition. On the redemption
date, each ORAN holder will also receive a "Final Interest" amount
equal to Euro 0.38 per ORAN. Press Conference information AXA Group
will hold a press conference chaired by AXA Group CEO, Henri de
Castries, about "MONY joins the AXA Group" at AXA Headquarters (25
avenue Matignon, Paris 75008) on Wednesday May 19th at 10:30 am
(Paris Time). Analysts and Investors who wish to follow this press
conference are invited to visit AXA Group's web site
http://www.axa.com/ (2). About AXA AXA Group is a worldwide leader
in financial protection and wealth management. AXA's operations are
diverse geographically, with major operations in Western Europe,
North America and the Asia/Pacific area. AXA had Euro 775 billion
in assets under management as of December 31, 2003, and reported
total revenues of Euro 72 billion and underlying earnings of Euro
2,035 million for 2003. Total revenues for the first quarter of
2004 were Euro 20 billion. The AXA ordinary share is listed and
trades under the symbol AXA on the Paris Stock Exchange. The AXA
American Depository Share is also listed on the NYSE under the
ticker symbol AXA. This press release is also available on AXA
Group web site: http://www.axa.com/ (2). AXA Investor Relations:
AXA Media Relations: Matthieu Andre : Christophe Dufraux :
+33.1.40.75.46.85 +33.1.40.75.46.74 Caroline Portel : Clara Rodrigo
: +33.1.40.75.49.84 +33.1.40.75.47.22 Marie-Flore Bachelier :
Rebecca Le Rouzic : +33.1.40.75.49.45 +33.1.40.75.97.35 Kevin
Molloy : Jeff Tolvin : +1.212.314.28.93 +1.212.314.28.11 IMPORTANT
LEGAL INFORMATION AND CAUTIONARY STATEMENTS CONCERNING
FORWARD-LOOKING STATEMENTS Certain statements contained herein are
forward-looking statements including, but not limited to,
statements that are predications of or indicate future events,
trends, plans or objectives. Undue reliance should not be placed on
such statements because, by their nature, they are subject to known
and unknown risks and uncertainties, including the risk that the
proposed merger may not be consummated. The following factors,
among others, could cause actual results to differ materially from
those described herein or from past results: the risk that the AXA
and MONY businesses will not be integrated successfully, including,
among others, the possibilities that following the merger AXA and
MONY may not be able to retain current MONY clients, sales
professionals and employees or to successfully market current MONY
products and services; the costs related to the transaction;
inability to obtain, or meet conditions imposed for, required
governmental and regulatory approvals and consents; other economic,
business, competitive and/or regulatory factors affecting AXA's and
MONY's businesses generally; and the risk of future catastrophic
events including possible future terrorist related incidents.
Please refer to AXA's Annual Report on Form 20-F for the year ended
December 31, 2002 and AXA's Document de Reference for the year
ended December 31, 2003, for a description of certain important
factors, risks and uncertainties that may affect AXA's business.
Please refer to MONY's Annual Report on Form 10-K for the year
ended December 31, 2003, for a description of certain important
factors, risks and uncertainties that may affect MONY's business.
AXA will not undertake any obligation to publicly update or revise
any of these forward-looking statements, whether to reflect new
information, future events or otherwise. AXA's and MONY's shares
are traded on the New York Stock Exchange (ticker symbols AXA and
MNY). Both companies file reports and other information with the
SEC. You may read and copy any reports and other information filed
by the companies at the SEC's public reference rooms at 450 Fifth
St., N.W., Washington, D.C. 20549 or at the SEC's other public
reference rooms in New York and Chicago. (1) Obligations
Remboursables en Actions ou en Numeraire i.e., bonds redeemable
either in shares or in cash. (2) Outside of France, the website
address is: http://www.axa.com/default1.asp DATASOURCE: AXA
CONTACT: Investor Relations - Matthieu Andre, +33-1-40-75-46-85,
Caroline Portel, +33-1-40-75-49-84, Marie-Flore Bachelier,
+33-1-40-75-49-45, or Kevin Molloy, +1-212-314-2893; or Media
Relations - Christophe Dufraux, +33-1-40-75-46-74, Clara Rodrigo,
+33-1-40-75-47-22, Rebecca Le Rouzic, +33-1-40-75-97-35, or Jeff
Tolvin, +1-212-314-2811, all of AXA Web site: http://www.axa.com/
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