ABN Amro has opted not to go with the Royal Bank of Scotland-led consortium’s offer for its LaSalle bank, determining that the Bank of America’s offer for LaSalle was superior.
ABN said the determination was principally based on the consortium’s offer for LaSalle being dependent on the success of a proposed offer to be made for ABN Amro as a whole.
“In particular, fundamental aspects of the proposal for ABN Amro, including with respect to financing, required regulatory notifications, tax clearances, the proposed material adverse change condition, required shareholder approvals and the pro-forma financial impact upon each of the consortium members, remained unclear,” ABN said in a statement.
ABN also said it was never provided with copies of financing commitment documentation.
“Without any details about the consortium’s financing and the pro forma financial impact on each of the consortium members, it has not been possible to assess the likelihood that the consortium’s three separate shareholder votes will be successful, and therefore whether the proposal to acquire ABN Amro has a reasonable likelihood of completing.”