RBoS to acquire 79% Egg stake

Royal Bank of Scotland Group (RBoS) has signed an agreement to acquire Prudential's 79% stake in the internet bank Egg, according to a report in the French daily newspaper Le Monde.

The paper says RBoS plans to buy the Egg operations in both France and the UK, and is also considering a bid for the remaining Egg shares held by minority investors.

Internet bank Egg has more than 3 million UK customers. Profits at its British business were £20 m (€28m) in the quarter end to September. However, the French unit remains loss-making.

The rapidly expanding RBoS is the second largest bank in Europe and recently acquired First Active in Ireland. RBoS also owns NatWest, Direct Line, Lombard and Churchill in the UK.