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| Version 2 | Version 3 |
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| ABN ends backing for Barclays bid | ABN ends backing for Barclays bid |
| (about 2 hours later) | |
| Dutch bank ABN Amro has withdrawn its formal support for Barclays' 67.5bn euros (£45.4bn) takeover bid. | Dutch bank ABN Amro has withdrawn its formal support for Barclays' 67.5bn euros (£45.4bn) takeover bid. |
| ABN Amro said it would not recommend either the Barclays bid or a rival 71bn euros offer from a group led by the Royal Bank of Scotland to investors. | ABN Amro said it would not recommend either the Barclays bid or a rival 71bn euros offer from a group led by the Royal Bank of Scotland to investors. |
| It said it would ensure "a level playing field" between the bidders. | It said it would ensure "a level playing field" between the bidders. |
| The move is a blow to Barclays whose previous support from ABN's board was seen as a crucial factor in helping it to overcome the higher RBS bid. | The move is a blow to Barclays whose previous support from ABN's board was seen as a crucial factor in helping it to overcome the higher RBS bid. |
| Barclays shares fell more than 1% in morning trading in London after the news emerged. | |
| Vying for control | Vying for control |
| Barclays recently secured backing for its bid from the China Development Bank and Singapore investment firm Temasek which enabled it to increase the amount of cash it was prepared to offer to ABN shareholders. | Barclays recently secured backing for its bid from the China Development Bank and Singapore investment firm Temasek which enabled it to increase the amount of cash it was prepared to offer to ABN shareholders. |
| We recognise, at the current time, it is difficult for ABN Amro to make a clear recommendation to their shareholders John Varley, Barclays See Barclays shares | We recognise, at the current time, it is difficult for ABN Amro to make a clear recommendation to their shareholders John Varley, Barclays See Barclays shares |
| The RBS group also recently sweetened its offer for ABN as the two groups vied to win control of the bank. | The RBS group also recently sweetened its offer for ABN as the two groups vied to win control of the bank. |
| Barclays had made its bid conditional on gaining the support of ABN's board but it has now changed its stance, saying their support would merely be needed to complete the deal. | Barclays had made its bid conditional on gaining the support of ABN's board but it has now changed its stance, saying their support would merely be needed to complete the deal. |
| Barclays said it still believed its offer would prove attractive to ABN shareholders. | Barclays said it still believed its offer would prove attractive to ABN shareholders. |
| "We recognise that, at the current time, it is difficult for the boards of ABN Amro to make a clear recommendation to their shareholders," said chief executive John Varley. | "We recognise that, at the current time, it is difficult for the boards of ABN Amro to make a clear recommendation to their shareholders," said chief executive John Varley. |
| "However, we are pleased to have their continuing support and we are confident that our revised offer delivers the value, stakeholder benefits and certainty that will allow the boards to support a recommendation in due course." | "However, we are pleased to have their continuing support and we are confident that our revised offer delivers the value, stakeholder benefits and certainty that will allow the boards to support a recommendation in due course." |
| In a statement, ABN said it was not "currently" able to recommend either of the bids. | In a statement, ABN said it was not "currently" able to recommend either of the bids. |
| It said it would "further engage with both parties with the aim of continuing to ensure a level playing field and minimising any of the uncertainties currently associated with the offers with a view to optimising the attractive alternatives available to shareholders". | It said it would "further engage with both parties with the aim of continuing to ensure a level playing field and minimising any of the uncertainties currently associated with the offers with a view to optimising the attractive alternatives available to shareholders". |
| The bid battle to create one of the world's largest banks is set to last for many months as both parties seek to overcome regulatory obstacles and win over shareholders. | The bid battle to create one of the world's largest banks is set to last for many months as both parties seek to overcome regulatory obstacles and win over shareholders. |