RSA surges 15% as Zurich looks at £5bn bid

Insurer RSA has topped the FTSE All Share leaderboard this morning after rival Zurich Insurance confirmed it is considering a bid for the company.

The Swiss firm said on Tuesday it is "evaluating a possible offer" for the UK group, following a report in the Financial Times detailing speculation in the market yesterday. The statement sent RSA's shares up 15% to 503p in early trading, valuing the Stephen Hester-helmed company at more than £5bn. A source told the FT that Zurich was considering a bid of 550p a share, or £5.6bn - a 26% premium to RSA's Monday closing price of 437.8p. The wider FTSE 100 was also in rude health on Tuesday, following on from several days of falls and a 1.2% dip on Monday. The blue chip index was u...