Prudential moves to delist online bank Egg

UK insurer Prudential will delist online bank Egg after 80 per cent of minority investors agreed to an offer that values the …

UK insurer Prudential will delist online bank Egg after 80 per cent of minority investors agreed to an offer that values the bank at around £1 billion (€1.45 billion).

Britain's second-largest life insurer, which owns 95.7 per cent of Egg, said it would delist the bank on February 20th.

Prudential has extended the period in which remaining shareholders can accept the offer until further notice.

The group, which originally owned 78 per cent of Egg, offered to buy out minority shareholders in December five years after floating it at 160 pence and a year after failing to sell it.

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Prudential's bid initially valued Egg at 118 pence a share, but a 6 per cent rise in the insurer's share price has since increased the bid value to 124.4 pence.

Prudential has said bringing Egg under its full control will generate revenue gains and cost savings from a closer working relationship with its life insurance operations and M&G fund arm.