What a good idea! We perceive both these Companies have a similar business philosophy, and a joint operation should fit together nicely! That is not to say their respective computer systems will be compatible but what the heck, why should that worry anyone?
Turning now to a serious note major Assurers in the shape of Prudential, and both the above mentioned Companies have been sloughing off their banking/credit card subsidiaries organically grown or acquired over the past 10 years during the period when the major banks went hell for leather in acquiring Insurance Companies. In particular nearly all of the ex Scottish Mutuals, notably with Lloyds TSB ending up with Scottish Widows, and a huge case of financial indigestion, to go with it, at the time of the last stock market crash.
Is it not therefore ironic that having had to follow a cautious investment line coerced a bit by the FSA anxious to avoid another Equitable Life fiasco it is now perceived Insurance Companies balance sheets appear relatively unharmed by the sub prime fallout, and could now be taking strategic positions in under capitalised banks.
Today, Resolution, supported by several large Assurers have shown an interest in Bradford & Bingley, and it is beginning to look like the proverbial merry go round........
Subsequently we learn B& B have rejected Resolution's takeover approach but surely this can not be the end of it!