French mutual insurer Covéa has reportedly reinitiated talks with EXOR to acquire its reinsurance business PartnerRe.

As per the Italian national daily newspaper, Il Sole 24 Ore, the talks for the deal, which were scrapped last year, have been resumed in recent weeks.

The firms are holding talks for the valuation of Bermuda-based PartnerRE, which could be close to the initial price, the publication said citing sources.

Under the terms of the initial agreement, the deal would have fetched Exor $9bn.

The French insurer had finalised the deal to acquire PartnerRe in an all-cash deal in March 2020.

Exor, the holding firm of Italy’s Agnelli family, had bought PartnerRe for a total consideration of $6.72bn in cash in 2016.

As per the original terms, Exor would have received an aggregate cash return of $3bn along with dividends received since 2016 through the divesture.

The reinsurer serves insurance firms with multi-line reinsurance services. It offers capital markets products like weather and credit protection to financial, service, and industrial companies.

In May 2020, Covéa called off the deal due to the economic disruption caused by the ongoing Covid-19 pandemic.

Il Sole 24 Ore noted that the reinitiated talks are still at an initial stage and they may not materialise.

In February 2019, Covéa scrapped plans to acquire property and casualty reinsurer SCOR.

At the time Covéa stated that “a transaction with SCOR is no longer part of its strategic options”.