Private equity specialist eyes 29.9% stake

Private equity firm Pamplona Capital Management has confirmed its desire to acquire a stake in Lloyd's insurer Chaucer.

Pamplona this morning declared its interest in acquiring up to 29.9% of the issued share capital of Chaucer Holdings by means of a partial cash offer.

Board of Chaucer said in a statement that it would begin discussions with Pamplona and its advisers in order to see whether an offer capable of recommendation by the Board was forthcoming. It added: "There can be no certainty that an offer will be made. A further announcement will be made when a conclusion to these discussions has been reached."

There has been speculation in recent months that Chaucer would be acquired. Mergers talks with Novae broke down earlier this year.