(Sharecast News) - Peel Hunt downgraded RSA Insurance on Friday to 'hold' from 'buy' but lifted the price target to 685p, which is the price it has agreed to be bought at by Intact Financial Corporation and Danish insurer Tryg.
The broker noted that RSA's takeover by the Intact-Tryg consortium is nearing completion, with all regulatory approvals now having been received.
Peel Hunt said the offer price is an attractive 18% premium to its 580p fair value estimate.
"We believe the consortium is buying RSA at an interesting inflection point for the Commercial lines business, as per the 1Q results, together with a healthy capital base.
"Intact's plans for RSA's UK Retail activities will be interesting to follow."
5 Nov 2020 07:20
Insurer RSA says underwriting profit strongly higher in 2020
LONDON, Nov 5 (Reuters) - British insurer RSA said on Thursday its underwriting profit rose strongly in the first nine months of 2020 due to improvements it had made to its underwriting strategy, despite the impact of the COVID-19 pandemic.RSA's ...
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