/ 11 October 1999

NEDOR TURNS UP STANBIC HEAT

NEDCOR is turning up the heat on Standard Bank Investment Corporation (Stanbic) by insisting market prices are a fair way of valuing the two groups ahead of their possible merger. Business Day reports that the Nedcor view comes in the wake of a Stanbic statement last week that, according to its advisers, a deal completed at “recent market prices” would not be fair to Stanbic shareholders. But Stanbic said it is examining Nedcor’s merger plan. Nedcor and its parent, Old Mutual, the largest shareholder in Stanbic, have emphasised they will not pay a premium on the merger. Fund managers holding big stakes in Stanbic have said their support will depend on price.