Safety Insurance Group (SAFT) Stock Soars Over 37% After Hours: Here's Why

Safety Insurance Group Inc. (NASDAQ:SAFT) shares jumped 37.58% to $100.35 in after-hours trading on Thursday after the Massachusetts-based insurer announced a definitive agreement to be acquired by an affiliate of Mapfre S.A.

According to Safety Insurance Group, it’s an all-cash deal valued at approximately $1.54 billion.

The announcement was made after the markets closed on Thursday, with SAFT closing at $72.94, up 0.61% in the regular session, according to Benzinga Pro data.

Shareholders to Receive 44% Premium

Under the agreement, Safety shareholders will receive $105 per share in cash, a 44% premium over the stock’s Thursday closing price.

The deal was unanimously approved by Safety’s board and is expected to close in the first quarter of 2027, pending regulatory approvals, including sign-off from the Massachusetts Commissioner of Insurance and clearance under the Hart-Cottrell-Rodino Antitrust Improvements Act of 1976.

Brand and Operations to Continue

Safety will keep operating under its existing name post-merger. CEO George Murphy called the deal an “exceptional outcome” for shareholders, adding that Mapfre shares the company’s underwriting discipline and long-term vision.

Jefferies LLC is serving as Safety’s sole financial advisor, while DLA Piper LLP (US) is acting as the company’s external legal advisor.

Trading Metrics, Technical Analysis

Safety Insurance Group has a market capitalization of $1.07 billion and 14.68 million shares outstanding. The stock has traded between a 52-week high of $81.49 and a 52-week low of $67.04.

The Relative Strength Index (RSI) of SAFT stands at 45.07.

The stock has gained 3.29% over the past 12 months.

Currently, SAFT is trading at 40.83% of its 52-week trading range.

With a strong Value score of 91.55, Benzinga’s Edge Stock Rankings indicate that SAFT has a negative price trend across all time frames.

Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.

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