Insurance group FBD has said it is on track to meet expectations for this year, though weakness in financial markets had affected its investments.
A weekend newspaper report said FBD could be a €1 billion takeover target as a European financial institution had begun buying shares in the company.
In a trading statement this morning, FBD said its core underwriting business was performing in line with expectations, helped by lower weather-related insurance claims, which offset lower premium prices.
But it said other income was lower, because of the impact of market turmoil on its Capital Fund. FBD also said pre-tax profits would be affected by its investment return figure, which was also hit by weakness in financial markets.
At operating level, it said it was 'comfortable' with analysts' expectations of earnings of around 311 cent per share.
FBD said there was evidence that a fall in insurance premium rates had abated.
Shares in the company closed up 11 cent at €24.91 in Dublin.
