My Business BlogThe leading business search engine and business directory
Royal Liver moves closer to takeover deal
‘);
TROUBLED mutual assurer Royal Liver today moved a step closer to being taken over by rival Royal London.
The Liverpool group confirmed today it had agreed “non-binding heads of terms” with the much-larger Royal London, paving the way for the organisations to carry out due diligence on the deal.
Once a formal deal is agreed, it will have to go to a vote of Royal Liver’s 200 delegates – its “members of Parliament”, elected by the members who own the company. A deal could be secured before the end of the year.
Royal Liver has been hit hard by the recession and its board has been forced to consider a takeover to ensure its survival.
Speaking to the Daily Post in May, Royal Liver’s interim chief executive Bill Connolly said the organisation had held talks with other mutual companies but felt Royal London was the best match.
He said: “We feel that what Royal London has offered means the best security going forward.
“Since 1850, our guiding principle has been to give our members the best deal possible. We now believe we are best served by seeking safe harbour.”
Mr Connolly said that the company would even consider moving out of its historic Royal Liver Building home if it made financial sense to do so.
Similar Posts:
- Manufacturing body EEF reports improvement in overall cost of credit for companies
- Follow Companies on LinkedIn for more personalized career insights
- Unite sees rise in student accommodation reservations
- South Korean government and investors’ party impressed by Liverpool prospects
- Liverpool St John’s centre owner Land Securities back in the black
Leave a Reply