Zurich increases takeover bid for RSA

RSA Insurance Group has received a takeover offer from Swiss rival Zurich, valuing the business at around £5.5bn.

RSA, one of the UK’s largest commercial insurers, owns the Liverpool-based More Than general insurance brand and the Motability arm, which employ around 1,500 staff in the city.

The all-cash offer of 550 pence a share, values the company at around £5.5bn.

Under Stock Market rules, today was the deadline for Zurich to make a bid, having first revealed it was considering making an offer in July.

RSA said in a stock market announcement that it had agreed to an extension of a the deadline under British takeover rules for the possible offer, to Sept 22.

RSA said its board had indicated to Zurich that it would be willing to recommend the offer “subject to satisfactory resolution of other terms of the offer”.

It added: “There can be no certainty that any firm offer will be made.”