Connect to share and comment

RBS to sell further stake in Direct Line

PlacardEnlarge
(Globalpost/GlobalPost)

March 12 (Reuters) - Royal Bank of Scotland said it plans to sell a part of its stake in motor insurer Direct Line Group through an offering of 229.4 million Direct Line shares.

If all the Direct Line Group ordinary shares available in the offering are sold, assuming no exercise of the over-allotment option, RBS's remaining stake would comprise 49.99 percent of Direct Line Group.

The stake sale accounts for 15.3 percent of Direct Line's ordinary share capital.

Direct Line was spun out of RBS last October, after being ordered by European regulators to dispose of Direct Line as a condition of its 2008 taxpayer bailout.

http://www.globalpost.com/dispatch/news/thomson-reuters/130312/rbs-sell-further-stake-direct-line