Royal Bank of Scotland: Halts sale of Churchill and Direct line
Dec 29, 2008 | Comments 0
Royal Bank of Scotland (RBS) the troubled bailed out bank is likely to abandon the sale of its insurance operations thats worth £7 billion, which include the sale of the Churchill brand and Direct Line.
It’s rumored that Mervyn Davies, the chairman of Standard Chartered is set to work with new RBS Chief Executive Stephen Hester after weekend negotiations with headhunters.
Churchill and Direct line were put on the block in March whilst Royal Bank of Scotland was under Sir Fred Goodwin’s control, as an attempt to convince shareholders to back a massive rights issue. However since Stephen Hester took the rains the sale has halted amid the government rescue which leaves the British taxpayer owning almost 60 percent of Edinburgh based bank.
Royal Bank of Scotland general insurance business employs about 18,000 staff members and is the second-largest general insurer in the UK.
Source: Guardian
Filed Under: Business News