By Rupert Hargreaves | Fool.co.uk: 9 November 2015
Royal Dutch Shell’s (LSE: RDSB) £47bn cash-and-stock offer for BG (LSE: BG) is one of the largest takeover deals ever to take place in the UK. However, the deal is also rapidly becoming one of the most controversial takeover deals ever to take place here. One fund management is now openly calling for Shell to scrap its offer for BG.
Call to reject the offer
It emerged this weekend that Ian McVeigh, head of governance at Jupiter Fund Management and one of the City’s biggest fund managers, has compared the proposed takeover of BG by Shell to the disastrous purchase of ABN Amro by Royal Bank of Scotland in 2007. RBS’s ill-fated takeover of ABN Amro ultimately resulted in the government bailout of RBS and years of pain for the bank.