Royal Bank Of Scotland has withdrawn its insurance business from sale by auction says a report in the Sunday Times.
Interest in the UK insurance group has waned since the announcement by RBS that it would be sold to the highest bidder. RBS had set a figure of £7billion, which appeared to frighten off the potential buyers.
US Insurance company Allstate is thought to be the only remaining bidder in the auction and they are only prepared to offer £6billion for the RBS group. RBS have always said that they would not be forced into a sale for its insurance division.
The Sunday Times reports that RBS have managed to raise close to £6billion themselves through selling off risky loans and a further £1billion from the sale of its share in Tesco Personal Finance.
Unless Allstate increase their offer for the insurance division, RBS will close the auction.
1 comment so far
1 Peter Kane // Aug 20, 2008 at 11:55 am
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