If all goes as planned, the sale of esure Group plc to Blue (BC) Bidco Limited (Bidco) will become official this month, as the £1.2 billion deal moves forward following Friday’s nod from the Prudential Regulation Authority (PRA) and the Financial Conduct Authority (FCA).
According to esure and Bidco’s joint announcement, the two regulators have given written notice, in accordance with Part XII of the Financial Services and Markets Act, of their approval of the acquisition of control of the British insurer.
This development follows the October 12 assertion by the European Commission that it had cleared the swoop unconditionally under the EU merger regulation, declaring it compatible with the common market. The approvals from the three entities satisfy the transaction’s regulatory conditions.
Meanwhile esure has provided a timeline for the cash deal, which will be put into effect by means of a court-sanctioned scheme of arrangement under Part 26 of the Companies Act.
“The scheme remains subject to sanction by the court at the scheme court hearing (expected to take place on December 17, 2018), the delivery of a copy of the court order to the registrar of companies and the satisfaction (or, where applicable, the waiver) of the other conditions to the scheme,” it explained.
“Subject to the scheme receiving the sanction of the court, the delivery of a copy of the court order to the registrar of companies and the satisfaction or, where applicable, the waiver of the other conditions, the scheme is expected to become effective on December 19, 2018.”
Making esure private, Bidco is snapping up the insurer’s entire issued and to be issued share capital.
