London & Manchester `in merger talks with rival'
Thursday 27 November 1997
L&M yesterday refused to discuss the rumours. However, there was strong speculation in the City that a deal was in the offing, which pushed up L&M's share price by 5 per cent to 514p, valuing the company at pounds 630m. Swinburne Johnson, L&M's company secretary, said simply: "It is company policy never to comment on takeover rumours".
According to the sources, Britannic executives have been consulting institutional investors which own substantial stakes in Britannic, with a view to gaining their approval for the merger.
City analysts yesterday said a merger between the companies, which both use door-to-door sales people to sell life insurance products, was a likely prospect in a sector that is undergoing rapid consolidation.
Britannic this year gained the sanction of the Department of Trade and Industry to assign "orphan assets" from its long-term funds to shareholders. The assets, which can be used as security to borrow money for a takeover, are now worth more than pounds 1bn. Britannic is worth pounds 1.95bn on yesterday's closing price of pounds 10.06, up 9p.
- 1 Venezuela Expo Tattoo 2015: Extreme body art from 'Vampire Woman' to 109mm earlobes
- 2 Saudi preacher who 'raped and tortured' his five -year-old daughter to death is released after paying 'blood money'
- 3 Ball pool for adults opens in London
- 4 Game of Thrones season 5 trailer: The first full-length look is here
- 5 Rashida Jones speaks out against male-centric porn saying 'women should have sex and feel good about it'
Boris Johnson claims porn-obsessed Islamic jihadists are 'literally w*****s'
Saudi preacher who 'raped and tortured' his five -year-old daughter to death is released after paying 'blood money'
Putin opponent reveals Russian President's daughter's secret identity
Ball pool for adults opens in London
Amal Clooney gives excellent response to fashion question at European Court of Human Rights
9 reasons Greece's experiment with the radical left is doomed to failure
Have we reached 'peak food'? Shortages loom as global production rates slow
Greece elections: Syriza and EU on collision course after election win for left-wing party
British grandmother Lindsay Sandiford faces execution by firing squad in Indonesia
Liberal Democrat minister defends comments suggesting immigration causes pub closures
King Abdullah dead: We can't afford not to hold Saudi Arabia's royals to account
iJobs Money & Business
£40000 - £50000 per annum: Recruitment Genius: This is an exciting opportunity...
£30000 - £35000 per annum + Benefits: Ashdown Group: Marketing Manager - Marke...
£13000 per annum: Recruitment Genius: This Pension Specialist was established ...
£23000 - £26000 per annum + Benefits: Ashdown Group: Market Research Executive...