Stay up to date with notifications from The Independent

Notifications can be managed in browser preferences.

CGU defends French bank move

Wednesday 11 August 1999 23:02 BST
Comments

Your support helps us to tell the story

From reproductive rights to climate change to Big Tech, The Independent is on the ground when the story is developing. Whether it's investigating the financials of Elon Musk's pro-Trump PAC or producing our latest documentary, 'The A Word', which shines a light on the American women fighting for reproductive rights, we know how important it is to parse out the facts from the messaging.

At such a critical moment in US history, we need reporters on the ground. Your donation allows us to keep sending journalists to speak to both sides of the story.

The Independent is trusted by Americans across the entire political spectrum. And unlike many other quality news outlets, we choose not to lock Americans out of our reporting and analysis with paywalls. We believe quality journalism should be available to everyone, paid for by those who can afford it.

Your support makes all the difference.

BOB SCOTT, chief executive of CGU, Britain's biggest composite insurer, yesterday defended his decision to intervene in France's banking bid battle with an 11th-hour share purchase two weeks ago which may have put Societe Generale beyond predator BNP's grasp.

"We made a decision to support the independence of SG," he said. "We have been a long-term shareholder in SG and the investment had produced very good returns." He said that 65 per cent of insurance sold in France is sold through banks. The group had been working on a European bancassurance venture with SG before it was put on hold pending the outcome of the bid battle which will be decided next week. CGU's decision to increase its stake in SG from 3 per cent to 6.9 per cent has been hugely controversial in France. The French stock market regulator has frozen the shares because of concern that the off-market purchase may have breached French takeover rules.

Investment page 21

Join our commenting forum

Join thought-provoking conversations, follow other Independent readers and see their replies

Comments

Thank you for registering

Please refresh the page or navigate to another page on the site to be automatically logged inPlease refresh your browser to be logged in