The 2013 full year preliminary results for RSA Insurance Group plc was announced 27 February 2014.


"3 FOR 8 RIGHTS ISSUE AT 56 PENCE PER NEW ORDINARY SHARE
Further to the announcement on 27 February of its preliminary results for the year ended 31 December 2013, RSA Insurance Group plc ("RSA" or the “Company”) today announces the launch of a rights issue to raise £773 million in proceeds (£748 million net of expenses) (the “Rights Issue”). The Rights Issue is a fully underwritten 3 for 8 rights issue of 1,380,976,863 ordinary shares of 27.5 pence each in the capital of the Company at a price of 56 pence per New Ordinary Share.
The Issue Price of 56 pence per New Ordinary Share represents a discount of approximately 40% to the closing price of 93.4 pence on 24 March 2014 (being the last business day prior to the release of this announcement) and a 32.7% discount to the theoretical ex-rights price based on the closing price on 24 March 2014."

(thanks to skinny for this article)


Bottom chart 'fast stochastic'

Half-yearly report

RSA DELIVERS 24% EARNINGS GROWTH TO £190M, AND COMBINED RATIO OF 94.2%

Strong operational delivery as a result of management actions

Encouraging progress in UK Commercial and Italy
Strong underlying performances in Canada and Scandinavia despite adverse weather and large losses
Operating leverage continues in Emerging Markets
Net written premiums up 7% on constant exchange rate basis to £4.7bn
Underwriting result up 26% at £188m (H1 2012 restated1: £149m)
Post tax earnings up 24% to £190m (H1 2012 restated1: £153m)
Annualised ROE 10.0% (H1 2012 restated1: 8.0%)
Interim dividend of 2.28p per share (2012: 3.41p)
Balance Sheet remains strong on all measures

IGD surplus of £0.9bn; covering capital requirement 1.7 times
Economic capital surplus of £1.3bn on a 1 in 200 year calibration covering the capital requirement 1.6 times
S&P A+ (negative outlook) rating reaffirmed in June
Net asset value per share excluding pension deficit of 103p (H1 2012: 104p)
On track to meet guidance in 2013

Continued growth in premiums as business expands in Emerging Markets, Canada and Global Specialty Lines
Better than 95% combined ratio expected despite material adverse weather in Canada
Investment income of around £470m for full year 2013
Return on equity of between 10% and 12% expected in 2013
Confident in prospects for further improvements to ROE and COR in medium term

Morgan Stanley Overweight 125.90 127.00 127.00 Reiterates

Deutsche Bank Hold 123.10 122.00 120.00 Reiterates

JP Morgan Cazenove Overweight 123.10 132.00 132.00 Reiterates

Goldman Sachs Neutral 122.80 122.80 128.00 135.00 Retains

xd 25 Sept. 2.28p; payday 22 November

JP Morgan Cazenove Overweight 122.10 122.10 132.00 141.00 Reiterates

Q3 IMS 7th November 2013.

8.5mill traded in the first hour this morning.

Yesterday's 'JP Morgan Cazenove Overweight' responsible, or is there something else doing the driving?

Not before time - yesterday's volume was also above average.

Interest from Generali and Zurich?

Italy's Generali denies reports of interest in RSA

Oct 23 (Reuters) - Italian insurer Generali denied a report in the British press on Wednesday that it could be interested in RSA Insurance.

"Generali denies rumours of an approach for RSA Insurance," a spokesman said.

RSA shares were rising 2.6 percent in London amid talk that European insurance giants such as Generali and Zurich were casting their eye over the firm, which could lead to a near 7 billion pounds ($11.35 billion) approach.

Yesterday's enthusiasm has waned this morning, needs another good injection of the rumour remedy now :-)

Artemis Investment > 5%

Hmmmm.

Plenty of whinging about the dividend etc.

Interim Management Statement

Severe weather events in 2013 continue; expect 2013 full year weather losses to be materially above planning assumptions

Year to date premium growth1 of 7% and net asset value2 of 99p per share

Expect 2013 return on equity to be below 10%

Severe European windstorm and continuing adverse weather in Canada mean that we now expect 2013 return on equity to be below 10%.
Net written premiums up 7%1 to £6.7bn:
Scandinavia flat1 at £1,484m;
Canada up 14%1 to £1,340m;
Emerging Markets up 17%1 to £1,033m;
UK & Western Europe up 3%1 at £2,838m.
Economic capital surplus of £1.3bn at 99.5% calibration, covering the capital requirement 1.6 times. IGD surplus of £0.8bn; covering capital requirement 1.5 times.
Net asset value (excluding IAS 19 pension deficit) of 99p per share (30 June 2013: 103p).

Nov 5: Panmure Gordon reiterates: Sell - TP unchanged: 117p

skinny - can't find any mention of the dividend. What are you referring to?

In these 3 sentences :-

During the third quarter of 2013, shareholders’ funds excluding the pension scheme deficit decreased by 4% to £3,732m, reflecting foreign exchange losses and the declaration of the interim dividend which more than offset profits generated in the period.

The IGD surplus at 30 September 2013 was £0.8bn (30 June 2013: £0.9bn) with coverage over the IGD requirement of 1.5 times. The reduction in surplus mainly reflects the impact of the interim dividend and foreign exchange which has more than offset profits generated.

The ECA surplus, on both a 1 in 200 per annum and a 1 in 1,250 per annum calibration, was unchanged from the position at the half year. This reflected profits generated in the period which were broadly offset by the accrual of the interim dividend.

Lunchtime update from HL

Doh! Thanks skinny. Should've gone to Specsavers.

Citigroup Buy 121.00 121.00 146.00 146.00 Reiterates

Nomura Neutral 121.00 121.00 124.00 120.00 Upgrades

Deutsche Bank Hold 121.00 121.00 120.00 117.00 Reiterates