UK: OUTLOOK FOR STANDARD LIFE ASSESSED
Article Abstract:
Standard Life will seek to retain its mutual status at a meeting of policyholders called by Monaco-based investor, Fred Wollard, who needs 75% to agree to conversion of the UK-based insurance group. Standard Life plans to put forward its case for staying mutual, with finance director, Iain Lumsden, noting that returns for its 2.3mn policyholders have exceeded those of businesses which have undergone demutualisation, such as Norwich Union. Mr Lumsden claims that turning Standard Life into a public limited company (plc) would reduce the value of the business by 12% immediately, saying that a sound strategic reason is required for such a move to be undertaken. However, Mr Wollard argues that policyholders would receive GB[pound] 6,000 worth of net windfall shares on average and that a flotation would value Standard Life at GB[pound] 15bn. Standard Life, which has almost 7% of the UK market, regards itself as an effective business possessing a solid capital base. Analysts note that the lack of capital among other mutual businesses had been a factor in them converting.
Publication Name: The Independent
Subject: Retail industry
ISSN: 0951-9467
Year: 2000
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US: PRUDENTIAL IN GB[pound] 133MN OFFER ON NYSE
Article Abstract:
Prudential, the UK life insurance group, has listed shares on the New York Stock Exchange through a global offer worth US$ 200mn (GB[pound] 133mn). This will leave it better placed to look out for acquisitions in the US life assurance and asset management business. The listing broadens Prudential's shareholder base and gave the group an acquisition currency. An acquisition is a long term goal as the price of annuities and mutual funds are high. Prudential has a market capitalisation of GB[pound] 20bn and with GB[pound] 170bn funds under management is the UK's largest annuity provider. It already has interests in the US with Jackson National Life, the 20th largest US group.
Publication Name: The Independent
Subject: Retail industry
ISSN: 0951-9467
Year: 2000
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GE mulls rival Equitable bid despite Halifax 'done deal.'
Article Abstract:
Equitable Life believes that it has a firm 1bn pounds sterling rescue deal with Halifax, but a counterbid could still be made by GE Capital. This bid would have to be significantly better than Halifax's in order to prompt the Equitable Life board to reopen the auction.
Publication Name: The Independent
Subject: Retail industry
ISSN: 0951-9467
Year: 2001
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