Topic: How To Invest

Dividend Advisor Hotline – Friday, May 12, 2017

Article Excerpt

INTACT FINANCIAL cORP., $92.53, Toronto symbol IFC, is Canada’s largest provider of property and casualty insurance. The company insures more than five million individuals and businesses. Its major brands are Intact Insurance, Canada BrokerLink and belairdirect. With the March 2017 payment, Intact raised its quarterly dividend by 10.3%, to $0.64 from $0.58. The shares now yield 2.8%. Even with the payment increase, the company pays out less than 40% of its earnings as dividends. Intact has now agreed to buy OneBeacon Insurance Group (New York symbol OB) for $1.7 billion U.S. It will pay for the purchase with a combination of shares and cash. OneBeacon is a Minnesota-based insurance holding company whose property-casualty insurance subsidiaries provide a range of specialty insurance products in the U.S. The company focuses on offering specialty insurance products through independent agents and brokers in the U.S. and Canada. That ranges from insuring architects and engineers to clients in the marine, sports, and entertainment industries. OneBeacon is Intact’s first entry…