Barclays launches formal bid to acquire ABN Amro

Barclays Plc, which has been facing a competing bid from a Royal Bank of Scotland-led three-bank consortium, has formally launched its €65-billion ($89 billion) takeover bid for Dutch bank ABN Amro.

ABN Amro, which had earlier backed Barclays bid, has now decided not to back either bid in order to ensure "a level playing field" between the bidders.

Under Barclay''s enhanced cash and share offer, ABN shareholders will receive €13.15 in cash and 2.13 new Barclays shares for each ABN share. ABN shareholders will have from 7 August till 4 October to indicate their approval to the Barclays offer.