7th Sep 2015 13:22
LONDON (Alliance News) - Switzerland's Zurich Insurance Group AG has arranged GBP5.5 billion in financing to back the takeover of UK-listed rival RSA Insurance Group PLC, Bloomberg reported, signalling the company is edging closer to making a formal takeover bid.
Zurich is still in the process of conducting due diligence, Bloomberg said, citing people with knowledge of the matter, before it will make a formal offer, but is understood to have secured bridge financing from Morgan Stanley, Citigroup, HSBC, Deutsche Bank, UBS and Lloyds Banking Group to back its bid.
Last month, RSA said it has received a tentative takeover bid of GBP5.59 billion from Zurich and said it would be willing to recommend the offer.
RSA shares were up 1.3% to 504.9026 pence on Monday.
http://www.bloomberg.com/news/articles/2015-09-07/zurich-said-to-arrange-8-4-billion-bank-financing-for-rsa-bid
By Sam Unsted; [email protected]; @SamUAtAlliance
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