‘Finance in place’ as Zurich closes in on RSA
Mon close: Zurich Insurance is said to have negotiated £5.5 billion from a group of banks for the takeover of UK rival RSA Insurance.
Bloomberg reported that the Swiss insurer has arranged the loans through Morgan Stanley, Citigroup, HSBC Holdings, Deutsche Bank, UBS and Lloyds Banking Group.
The financing will provide a bridging facility, which may have to be repaid from the sale of assets.
In August, Zurich made an approach at 550p that valued RSA at around £5.6 billion. Shares in RSA closed up 5.1p at 503.5p.
The FTSE100 rose 0.52% or 31.6 points to close at 6,074.52