Macquarie is planning a takeover bid of over over £5bn ($6bn) for M&G, a UK-based fund management and insurance group. M&G has a market capitalization of just over £5bn ($6bn) and was the former UK arm of Prudential. No final offer has been made yet and sources note that Macquarie has yet to make an approach to M&G’s board. M&G manages about £350bn ($419bn) in AUM, and holds stakes in almost every significant London-listed company, as per Sky News. Macquarie manages about $519bn in assets. The valuation is unclear, with a typical 30% takeover premium as per analysts. They also note that it is unlikely to seek to retain M&G’s insurance operations, whereby it could partner with an acquirer of that business or seek to sell it after a takeover completed.
Macquarie’s dollar bonds were trading flat with its 6.125% Perp at 92.1, yielding 8.5%
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