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Commercial banks

Takeover Frenzy: UK Publicly Quoted Companies See Record-Breaking Activity in 2000

Strategic Insights

— 1 min read

The year 2000 is shaping up to be a record-breaking year for takeovers of UK publicly quoted companies, with bids worth £118 billion completed or announced so far, second only to the £168 billion recorded in 1999. The intense activity in the City has sparked a fierce battle for Abbey National, with Lloyds TSB and Bank of Scotland involved in a £18 billion bid battle. The outcome will not only impact the City's top banks but also influence their positions in the annual takeover league tables.

Key Takeaways:

  • The year 2000 is on track to be the second most active year for takeovers of UK publicly quoted companies, with bids worth £118 billion completed or announced so far.
  • The top two banks in the UK takeover league tables are US bank JP Morgan, with deals worth £82 billion, and Dresdner Kleinwort Benson, with deals worth £81 billion.
  • Goldman Sachs, which was the leader in the UK and globally last year, is at risk of falling to seventh place in the UK league tables if a three-way bid for Abbey National occurs.
  • Lloyds TSB, Bank of Scotland, and Abbey National are engaged in a £18 billion bid battle, with the latter rejecting Lloyds TSB's latest informal offer of £18.6 billion.
  • The regulator will be formally notified of the planned deal between Abbey National and Bank of Scotland, with a 35-day timetable for expected clearance of the deal.

Statistics:

  • £118 billion: total bids completed or announced for takeovers of UK publicly quoted companies in 2000 (so far)
  • £168 billion: total bids completed or announced for takeovers of UK publicly quoted companies in 1999
  • £82 billion: total deals worth completed or arranged by JP Morgan in the UK takeover market
  • £81 billion: total deals worth completed or arranged by Dresdner Kleinwort Benson in the UK takeover market
  • £18 billion: value of bid battle between Lloyds TSB and Bank of Scotland for Abbey National
  • £18.6 billion: value of Lloyds TSB's latest informal offer for Abbey National
  • 35 days: timeframe for expected clearance of the deal between Abbey National and Bank of Scotland

Sources:

  • "City set for second most-active takeover year" by Paul Farrelly (the source of the text)
  • No external sources cited in the original article.

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