Swiss Life backing off Lombard bid
RUMOUR OF THE DAY
SWISS Life is no longer considering a bid for Lombard, Friends Provident's high-end insurance unit, a source last night said.
Shares in Swiss Life fell last week on the back of a report that the insurer's chances of winning the bid race for Lombard were good, raising fears it could pay too much.
In May, reports said that the Swiss insurer was the only trade buyer considering a bid, so its departure would leave only buyout firms. Private equity firms CVC and & Friedman are rumoured to have expressed interest.
Some analysts have valued Lombard at more than £700 million, but bankers have been sceptical of Friends' ability to command a hefty premium in current market conditions.
Swiss Life is rumoured to have offered about £600m.
The full article contains 136 words and appears in The Scotsman newspaper.
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Last Updated:
03 July 2008 9:04 PM
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Source:
The Scotsman
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Location:
Edinburgh
