25 Nov 2004
Update on closure of Egg France
On 13th July the Board of Egg plc (“Egg”) announced that it had begun to take the necessary steps to withdraw from the French market. On 5th October 2004, Egg announced that it had received an approach in respect of its French savings and online brokerage business from ING Direct France and had granted exclusivity to conclude the agreement.
Today Egg announces that it has received the opinion of the French Works Council and has reached an agreement to sell its savings and online brokerage business to ING Direct France.
The sale will transfer 45,000 savings and investment accounts to ING Direct France. As of today, savings account liabilities subject to the transaction currently total approximately €35 million (£25 million) and investment account funds under administration total approximately €30 million (£21 million). No assets will be transferred to ING Direct France.
The transaction will result in the redeployment of up to 40 of Egg’s 450 French workforce and is expected to be completed by the end of 2004. Our expectations with regard to the total exit costs in France remain unchanged.
-Ends-
Notes to Editors:
- Egg plc is the world’s largest pure online bank, providing financial services products through its Internet site and other distribution channels.
- Egg plc floated on 12 June 2000 and is listed on the London Stock Exchange. Prudential plc holds 78% of the share capital.
For further information, please contact:
| Media: |
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| Emma Byrne |
020 7526 2600 / 07775 657241 |
| Mark Maguire |
020 7526 2651 / 07771 808624 |
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| Investors / Analysts: |
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| Kieran Coleman |
020 7526 2648 / 07711 717358 |