NEW YORK (TheStreet) -- Shares of PartnerRe were gaining 8.8% to $129.62 on heavy trading volume Tuesday after Exor announced an offer to acquire the insurance company for $6.4 billion in cash. Exor offered to pay $130 a share in cash to acquire PartnerRe, valuing the company at $6.4 billion. The offer represents a 16% premium to the implied price of $112.53 a share Axis Capital offered to pay to acquire PartnerRe, according to Exor. Axis Capital and PartnerRe previously agreed to a merger in January. 'Our proposal provides superior value for PartnerRe shareholders with the certainty of a cash offer," Exor Chairman and CEO John Elkann said in a statement. "It also represents a great opportunity for the company's management and employees to continue to develop PartnerRe's outstanding potential as a leading global reinsurer with our committed and stable ownership." About 2.9 million shares of PartnerRe were traded by 12:47 p.m. Tuesday following the offer, above the company's average trading volume of about 523,000 shares a day. TheStreet Ratings team rates PARTNERRE LTD as a Buy with a ratings score of A. TheStreet Ratings Team has this to say about their recommendation: "We rate PARTNERRE LTD (PRE) a BUY. This is based on the convergence of positive investment measures, which should help this stock outperform the majority of stocks that we rate. The company's strengths can be seen in multiple areas, such as its revenue growth, largely solid financial position with reasonable debt levels by most measures, solid stock price performance, attractive valuation levels and increase in net income. Although no company is perfect, currently we do not see any significant weaknesses which are likely to detract from the generally positive outlook." Highlights from the analysis by TheStreet Ratings Team goes as follows: PRE's revenue growth has slightly outpaced the industry average of 2.8%. Since the same quarter one year prior, revenues slightly increased by 1.5%. Growth in the company's revenue appears to have helped boost the earnings per share. PRE's debt-to-equity ratio is very low at 0.12 and is currently below that of the industry average, implying that there has been very successful management of debt levels. The stock has risen over the past year as investors have generally rewarded the company for its earnings growth and other positive factors like the ones we have cited in this report. Turning our attention to the future direction of the stock, it goes without saying that even the best stocks can fall in an overall down market. However, in any other environment, this stock still has good upside potential despite the fact that it has already risen in the past year. The net income growth from the same quarter one year ago has exceeded that of the S&P 500 and greatly outperformed compared to the Insurance industry average. The net income increased by 1.9% when compared to the same quarter one year prior, going from $271.79 million to $276.89 million. You can view the full analysis from the report here: PRE Ratings Report Must Read: Warren Buffett's Top 25 Stocks for 2015
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