rumour suncorp takeover from bloomberg aus.Promina Group Shares...

rumour suncorp takeover from bloomberg aus.

Promina Group Shares Rise on Speculation Suncorp-Metway May Bid
By Kevin Foley and Joyce Moullakis

Oct. 11 (Bloomberg) -- Shares in Promina Group Ltd., Australia's second-largest auto and home insurer, surged as much as 12 percent to a record on speculation Suncorp-Metway Ltd. may bid for the company.

``The strongest rumor is that Promina is going to go and that Suncorp is the buyer,'' said Karl Siegling, who helps manage the equivalent of $30 million at Cadence Capital in Sydney, including insurance stocks. Brisbane-based Suncorp is the nation's No. 3 auto and home insurer and sixth-biggest bank.

Suncorp spokesman Malcolm Barter said the company declined to comment on speculation. Shares in Promina rose 56 cents, or 9.2 percent, to A$6.66 at 12:11 p.m. in Sydney, valuing the company at A$6.8 billion.

A spokesperson for Promina didn't immediately return phone calls seeking comment.