Italy’s biggest insurer Assicurazioni Generali is the centre of much M&A speculation after its recent acquisition of smaller insurer Toro for €3.85 billion ($6.5 billion).

Generali’s problem is an enviable one – it has a swag of capital hanging around. Even after buying Toro, it would still have €3.4 billion ($5.74 billion) in excess capital for future buys while remaining an attractive target itself, given its potential for a restructure.

Analysts have suggested a possible bid from either AIG or Dutch insurer Aegon is possible, although Generali management has dismissed the rumours and will not comment on the matter.

While AIG is the world’s biggest insurer and has a market capitalisation of $185 billion ($234 billion) – nearly four times the market worth of Generali – Aegon is only half the size of Generali with a market worth of €22.6 billion ($38.18 billion).

The analysts say change could come next March when the Generali board is up for election.