03 Aug 2004
Statement regarding Prudential’s shareholding in Egg
Egg plc (“Egg”) notes today’s announcement from Prudential plc (“Prudential”) that Prudential is no longer in discussions regarding a possible transaction with respect to its approximately 79% shareholding in Egg.
Egg announced its interim results for the half year to 30 June 2004 recently (22nd July) at which time it updated the market on Egg’s performance and outlined its plans to develop its UK strategy and to continue profitably growing the business. Egg has previously announced that it has begun to take the necessary steps to withdraw from the French market. *1
Paul Gratton, Egg’s Chief Executive, said: “Egg has progressed quickly to build a profitable UK business with over 3.5 million customers. We have secured a unique and powerful brand positioning in the UK with a proven ability to attract and retain an impressive, high-quality customer base. We have established a track record in market-leading products and services which improve people’s understanding and management of their money.
“Now that the situation regarding our majority shareholder has been clarified, we remain confident that Egg is well-positioned to execute our business plan successfully and deliver value to shareholders.”
Ends
For further information, please contact:
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| Emma Byrne |
020 7526 2600 / 07775 657 241 |
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| Analysts / Investors: |
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| Kieran Coleman |
020 7526 2648 / 07711 717 358 |
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Notes to Editors
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*1. |
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We announced on 13 th July the following: |
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“In October 2003, we announced that our French management team had developed a revised business plan, which we considered to be a strong, value-creating business plan, but which required a level of investment greater than Egg was prepared to take on a stand alone-basis. We also announced therefore that we were in negotiations with potential partners that may have led to a joint venture or similar transaction. The search for a strategic partner was then superseded by Prudential announcing in January 2004 that it was considering proposals for its approximately 79% shareholding in Egg. When it became clear that there was no potential purchaser who valued the option in France, Egg announced that it intended to take the necessary steps to withdraw from the French market. |
About Egg
- 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 approximately 79% of the share capital.