Rsa Insurance Group Ld Share Discussion Threads

[optomistic] 11/9/2015 08:44

Did Hester say that there were other interested parties waiting in the wings...time they came out to play I would say!

[loganair] 10/9/2015 20:51

dam - Bwin-Party wins that award by a very, very long shot.

[dambuster1] 10/9/2015 18:29

This wins a prize for the weirdest takeover of the year, if not the decade

That's if it even happens...

[jarbie] 10/9/2015 17:52

with a take over deal almost certain
I don't understand share price level
or movements - are we so uncertain
of the level of the bid or what ?

[coley15] 08/9/2015 07:30

Not long to go now .....

[optomistic] 05/9/2015 09:45

Would it be considerate to the shareholders if Hester made a statement as to the current situation, perhaps I have missed it but I don't recall seeing anything.
It's like it's a bid that only concerns the directors of the company and nothing to do with the shareholders at all!

[chancer] 04/9/2015 15:17

But the shorters are winning the game, so far.

[optomistic] 04/9/2015 08:35

"All agreed" but the share price opens up 6p down, 48p below 'the bid'

[blueteam] 04/9/2015 08:09

Reports of it all agreed and at 5.50 cash plus any divi due. Holding to get full money and no sell charges lol.

[chancer] 30/8/2015 14:45

One Sunday newspaper quotes a former RSA executive, who declined to be identified, as saying: “It is all over bar the shouting and it is a sad end to 300 years of history.

Zurich has until September 22 to table a takeover bid for RSA.

hxxp://www.liverpoolecho.co.uk/news/business/job-loss-fears-mount-ahead-9957271

[loganair] 26/8/2015 19:23

Panmure Gordon raised their price target on shares of RSA Insurance Group from 450p to GBX 550p.

I wonder if they think the take-over will go through.

[dutch123] 26/8/2015 13:50

out, can't see much upside...gl all..no doubt it will surge now..

[loganair] 26/8/2015 11:20

It seems to me that many of Zurich share holders do not want the take over unless it's 525p or less and they'd prefer the excess of capital Zurich has returned to them as a Special dividend.

As a share holder of RSA I do not wish to sell for less than 600p, especially as there is a high likelihood of continued dividend growth.

Looking 5 years ahead in my good opinion RSA shareholders will be better off with RSA staying independent.

[rackers1] 26/8/2015 11:07

dont trust the bid with the share price where it is

[optomistic] 26/8/2015 09:55

"RSA said Zurich had raised its bid on Tuesday, without saying what the previous offer was."

As usual...don't tell the PI's!

[loganair] 26/8/2015 09:27

Investor Doubts Remain About Zurich’s $8.8B Tentative Offer for UK’s RSA By Jeffrey Vögeli and Mark Bentley:

Zurich Insurance announcement that it’s considering a 5.6 billion-pound ($8.8 billion) offer for RSA Insurance is leaving investors in doubt that the takeover will happen at that price.

Chief Executive Officer Martin Senn, 58, is pressing on with the deal, which comes amid turmoil on financial markets. Acquisition targets globally are trading at an average of 15 percent below their offer prices, excluding negative spreads spurred by bidding wars, data compiled by Bloomberg show. A wide spread — usually greater than 5 percent — signals concern that an offer could get derailed or reduced. Insurance stocks have sunk about 8 percent since Zurich said it was considering an offer on July 28.

“The deal hasn’t been done yet,” said Stefan Schuermann, an analyst at Vontobel AG in Zurich. “The market sees this possibility of a lower price in case Zurich finds skeletons in the closet.”

‘No Certainty’

RSA said Zurich had raised its bid on Tuesday, without saying what the previous offer was. Earlier in the month, it was offering about 525 pence while RSA was demanding at least 600 pence a share, the Sunday Telegraph reported Aug. 5. A deal would include Zurich honoring an interim dividend of 3.5 pence a share announced this month, RSA said.

“Investors are conscious of the fact that Zurich has only made an indicative offer,” Guy de Blonay, manager of the Jupiter Global Financials SICAV fund, said in an e-mailed response to questions from London. “There is no certainty.”

While Senn has said the purchase could bring significant cost-savings and other benefits, investors including Simon Wyss at Privatbank von Graffenried AG, have said he will need to persuade some shareholders.

“I’m not that, sort of, convinced, to be honest,” Andrea Williams, a portfolio manager at Royal London Asset Management in London, who holds Zurich shares, said. “With Zurich in the past, I’ve got the impression that there was excess capital coming back to shareholders and that there wasn’t that much of an appetite for deals.”

[dutch123] 26/8/2015 07:22

imo if it doesn't go through the MM'S will punish the share price ...it could be a "done deal".

[coley15] 25/8/2015 23:06

RSA set to agree £5.6bn Zurich bid

[loganair] 25/8/2015 23:02

Proposed Zurich, RSA merger receives lukewarm response - "Zurich's offer for rival RSA is being greeted with muted reaction from industry observers."

[dutch123] 25/8/2015 20:05

One top 10 shareholder in Zurich was unhappy with the offer price given the weak macroeconomic backdrop, saying it would be hard for the Swiss company to hit its desired return targets.

"After a large market sell-off, it's a big price. More than the market expected. It seems Zurich management is rather ignorant in regards of market forces," said the shareholder, who declined to be named.

Analysts at Berenberg said the offer premium of 26 percent to RSA's share price before Zurich first signalled its interest on July 28 meant the choice was easy for RSA shareholders, whose largest is activist investor Cevian Capital with 13 percent.

Zurich, though, would need to save $500 million to reach its target of a 10 percent return on investment, the analysts added, and could end up having to sell RSA's profitable Scandinavian business to make the numbers stack up.

Shore Capital's Eamonn Flanagan said a deal of some kind was "now seeming inevitable", though he did not rule out the possibility of a counterbid from another European insurer.

[dutch123] 25/8/2015 19:57

Zurich Insurance has bid for Britain's Royal & Sun Alliance. The Swiss insurer has offered 5.6 billion pounds for their UK rival. Paving the way for one of Europe's biggest ever insurance deals. Jeremy Batstone-Carr is from Charles Stanley. (SOUNDBITE) (English) CHARLES STANLEY, CHIEF STRATEGIST, JEREMY BATSTONE-CARR, SAYING: "Royal Sun & Alliance operations in the UK and Ireland are performing moderately well but are perhaps regarded as somewhat sub-optimal and Latin America has been very difficult for Royal Sun Alliance. So I rather suspect that the prime motivation for Zurich has been to increase its global footprint in particular in Scandinavia." RSA, known for its "More Than" insurance brand, says it will recommend the proposal to its board. It gave Zurich another four weeks to come up with a firm takeover offer. (SOUNDBITE) (English) CHARLES STANLEY, CHIEF STRATEGIST, JEREMY BATSTONE-CARR, SAYING: "It is offering what we think is a pretty full price, 550p per share represents an exit price to tangible book of about 1.8 times a forward multiple of 17 times. We think Royal Sun Alliance shareholders would be very pleased with 550p per share although of course Zurich reserves the right to adjust that price in the light of market conditions between now and the 22nd of September." RSA's shares rose nearly 5 percent on the back of the bid. And although a counterbid is still possible, analysts expect the takeover to go ahead. Strong competition and low investment are both spurring insurance mergers. As well as the tighter capital regulations due to come into force in Europe in the new year.

[dutch123] 25/8/2015 19:28

(ShareCast News) - Shares in RSA Insurance surged after the company said it has received a revised proposal from Zurich Insurance regarding a possible all cash offer for the company at 550p per share.
Under the terms of the proposal, which came in just before the expiry of a takeover panel deadline, RSA shareholders will retain the right to receive the 3.5p interim dividend announced on 6 August.

RSA said it has indicated to Zurich that it would be willing to recommend an offer at the level discussed by the two companies, subject to the satisfactory resolution of the other terms of the offer.

RSA has now agreed to an extension of the relevant takeover deadline until 22 September 2015 to enable both parties to conclude their ongoing discussions.

The UK insurer added "there can be no certainty that any firm offer will be made."

Shore Capital said a deal now seems inevitable.

"We retain our buy recommendation on RSA and await the possibility of a counter-bid from another Continental European insurer," it said.

Atif Latif, director of trading at Guardian Stockbrokers said the revised offer should appease investors and sees a high probability of the deal materialising.

"It seems evident that there are plenty of synergies if the deal completes but we would not be surprised if a higher offer is introduced given the potential cost savings that can be made," said Latif.

He said the share price reflects the potential deal and he reckons the UK insurer could see plenty of interest from other peers.

"A higher premium than is being currently offered seems plausible and we think that will be the outcome," he said.

Nomura, meanwhile, which rates RSA at 'neutral' with a 495p price target, said it still sees a good likelihood of the deal going through. However, it said the chances of another bidder emerging are slim.

At 1005 BST, RSA Insurance shares were up 4.8% at 518.50p.

[loganair] 25/8/2015 17:52

IC VIEW:

RSA has made good progress restructuring the business, but shareholders may wish to take this opportunity to crystallise gains rather than waiting for RSA to progress further. For now, though, we suggest waiting until the offer becomes formal and is recommended by the board. Hold.