Pamplona increases Chaucer stake
London-based Pamplona Capital Management has upped its stake in insurer Chaucer Holdings, adding 34.4 million shares to the 54.8 million shares it acquired earlier this week.
The acquisition, subject to FSA approval, takes Pamplona’s stake in Chaucer to 16.27%, and values Chaucer’s stock at 44 pence per share.
Private equity firm Pamplona confirmed that it aims to attain a 29.9% non-controlling stake in Chaucer.
Discussions between Chaucer and Pamplona are ongoing, and Pamplona said it reserves the right to effect further market purchases and to submit cash offers to acquire up to 13.6% more of Chaucer’s issued share capital.
Earlier this week, Chaucer rejected an all-share takeover bid from Brit Insurance.
In a separate announcement, Chaucer said its chief executive, Ewen Gilmour, and chief financial officer, Mark Graham, are both resigning.
Gilmour intends to retire at the end of the year, whilst Graham will look for alternative opportunities.
