Shares in insurance outsourcer Quindell were up 27 per cent this morning after it confirmed its talks with Australian headquartered law firm Slater & Gordon over the sale of its professional service division were ongoing. 'Discussions are progressing with SGH and the indicative terms being discussed would imply a significant premium to the company's market capitalisation at the close of trading on 20 February 2015' it said in a statement to the London Stock Exchange. 'There can be no certainty that these discussions will lead to an offer for, or the disposal of, the PSD. Further announcements will be made, as appropriate, in due course.'
Reduced offer
Reports at the weekend said that Slater & Gordan had reduced its offer for the legal services arm of Quindell from £1 billion to £700 million after due diligence. In its heyday, the company was worth around £2 billion but shares fell by 90 per cent after its accounting practices hit the headlines as well as a questions over share sales by former directors. The legal business is said to account for half the technology company's business. Sources: Thisismoney.com; CityAm
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