Alexander Forbes is rumoured to be selling off part of its business, after it was revealed it is in
"advanced negotiations "to sign a deal with a broker.
JLT, Marsh and Folgate Partnership have been identified as potential bidders. One broker claimed:
"Alexander Forbes 'PI activities would fit into their plans. It could be trying to release cash in a bid to expand into other areas."
Speculation over the broker 's plans was sparked after it issued a statement on the Johannesburg stock exchange on 12 March, advising investors to exercise caution with its shares.
A securities analyst said: "If a company is about to sell-off a significant part -which is usually at least 15% - of its business it issues a warning. They are effectively urging shareholders not to sell."
Following a drop in its share price to SAR900 (72.1p),rumours have persisted that Alexander Forbes needs to raise capital and is looking to sell-off its professional indemnity (PI)book.
Alexander Forbes denied the PI sell-off rumour. Chief operating officer (Europe) Rael Gordon said:
"We are in the advanced stages of negotiations so we cannot comment."
Hosted by comedian and actor Tom Allen, 34 Gold, 23 Silver and 22 Bronze awards were handed out across an amazing 34 categories recognising brilliance and innovation right across the breadth of UK general insurance.
