LV= merger talks stall
LV= is understood to have backed away from a potential merger with Royal London.
According to Sky News, the two mutuals have been negotiating the deal for the past few months, but couldn’t agree on the structure of any potential deal. However, Sky added that sources said talks were likely to be continuing.
LV= said, ‘We do not comment on rumour and market speculation.’
The Sky report added that LV= has received a number of enquiries from other insurers about an acquisition of its general insurance division, and has also considered the benefits of selling any of its individual units.
LV= employs more than 6,000 people and it is the third biggest car insurance provider in the UK.
Last September it announced a fall in half-year earnings from an operating profit of £79m to £33m. Its annual results are expected on April 12.