WOULD IT BE A MISTAKE FOR RSA TO LAUNCH A MAJOR CASH CALL?
DUNCAN HALL FINNCAP
The size of the possible fundraising is pretty breathtaking for an organisation of RSA’s size. And the firm tends to be cited as a takeover target more than a potential consolidator. We would tell investors that, if there is to be a fundraising, they should stand back at the moment and wait for the situation to clarify.
BEN COHEN COLLINS STEWART
If RSAdoes anything it should be tied to mergers and acquisitions. There’s no need for fresh equity with the business as it is. I can only presume they are talking to advisers to scope out if there are any companies out there worth buying, and whether there would be the equity to fund it.
JUSTIN URQUHART-STEWART 7IM
Many are looking at support funding at the moment, to pay down debt and avoid taking on more debt. But unless you are offering rights at a significant discount, investors are not going to want to put their hands in their pockets unless there is growth to come. Where does the growth come from with RSA?