RSA’s £773m fund-raising plan to boost finances
Troubled insurer RSA has unveiled details of a £773million fund-raising plan to shore up its finances.
New chief executive Stephen Hester, formerly head of Royal Bank of Scotland, said cost-cutting and sell-offs would also help fill its £1.6billion hole.
RSA, which dived to a £244m loss in 2013 after claims for bad weather and accounting irregularities at its Irish business, said shareholders will be able to buy three new shares for every eight they hold at 56p per share. Expectation of an enthusiastic take-up sent its shares 1¾p higher to 95¼p.