Barclays sweetens up ABN Amro bid

13th June 2007, Comments 0 comments

13 June 2007, AMSTERDAM – British bank Barclays has plans to make its bid on ABN Amro more appealing. The British bank wants to offer a part of the bid in cash. Its initial offer was all in shares. The Financial Times reported this on Wednesday. The British newspaper says that Barclays has realised it must improve its bid of approximately EUR 65 billion if it is to win the bidding war against the consortium led by Royal Bank of Scotland (RBS). The banking consortium of RBS, Fortis and Santander has exten

13 June 2007

AMSTERDAM – British bank Barclays has plans to make its bid on ABN Amro more appealing. The British bank wants to offer a part of the bid in cash. Its initial offer was all in shares. The Financial Times reported this on Wednesday.
 
The British newspaper says that Barclays has realised it must improve its bid of  approximately EUR 65 billion if it is to win the bidding war against the consortium led by Royal Bank of Scotland (RBS). The banking consortium of RBS, Fortis and Santander has extended a bid of EUR 71.1 billion for ABN Amro. The three are willing to pay 79 percent of that takeover sum in cash.

The paper reports however that Barclays is waiting to see whether the consortium has any chance of taking over ABN Amro before adjusting its bid. The bid from the consortium is only valid if ABN Amro can reverse the sale of its US subsidiary LaSalle. That matter is still being decided in court.

Barclays is also trying to convince national and local politicians that it is the best candidate to takeover the Netherlands' largest bank. Senior management at Barclays has informed Amsterdam mayor Job Cohen that it will finance a top level business school – "a Harvard on the Amstel" – if the deal with ABN Amro goes through.

[Copyright Expatica News + ANP 2007]

Subject: Dutch news

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