 Prudential says it is committed to Egg |
Life insurer Prudential has announced it has rejected a bid approach for its internet bank Egg. Prudential said the approach, from an unnamed party, was "speculative and conditional" and was not in shareholders' interests.
Prudential committed itself to Egg last year, agreeing to buy the 22% stake it did not already own in the firm, having previously looked to sell the business.
Egg, which employs about 2,500 people, was set up by Prudential in 1998.
Egg focus
Prudential's announcement came after the Sunday Times reported that US financial services giant Citigroup was interested in making a bid for Egg.
It said Citigroup may be prepared to pay �950m for the business.
Prudential confirmed it had received a "very preliminary approach", which it had rejected.
"Our focus remains on the continuing review of the UK business and completing the integration of Egg," it said.
When Prudential completed its acquisition of the 22% stake in Egg, the eventual 135 pence-a-share price paid valued the internet bank at about �1.1bn.
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