Private equity groups have been shut out from bidding in the first round of the £7bn auction of Royal Bank of Scotland’s insurance business, which includes Direct Line and Churchill. KKR, Blackstone and Apax Partners were among those hoping to participate in the auction, but were told by RBS they could not submit indicative offers amid the continuing difficulty in financing leveraged buy-outs. RBS sent the sales memorandum to a group of eight trade bidders on Tuesday: Allianz, Zurich Financial, Assicurazioni Generali , Berkshire Hathaway, Allstate, Travelers, Ping An and American International Group. Indicative proposals are due by May 28.

This entry was posted by Gwen Robinson on Wednesday, May 14th, 2008 at 5:42 and is filed under Capital markets, M&A, Private equity. Edit this entry.