It looks likely that Royal Bank of Scotland will attempt to offload it’s insurance division again as the Government proceeds with plans to create three high street banking chains from the part nationalised group of Royal Bank of Scotland (RBS), Lloyds Banking and the wholly owned Northern Rock.
The move is expected to appease the European Competition Commissioner Neelie Kroes who had been insisting on the UK funded banks selling off some of their branches to meet European Commission approval.
The RBS insurance division which boasts many of the UK’s most well known insurance brands was first put up for sale during the tenure of disgraced banker Fred Goodwin.
The group which includes Direct Line, Green Flag, Churchill and NIG amongst it’s brand names initially attracted plenty of interest with most of the large insurance groups keen to make an acquisition, but the reserve price of £7 million saw almost all withdraw their interest, leaving three private equity firms to bid.
RBS abondoned the sale in December 2008.
0 comments so far
There are no comments for this post yet. Why not be the first by filling out the form below.