Egg re-hires Goldman Sachs for bid talks.

Byline: David Rothnie

Egg, the internet bank which is being sold by core shareholder Prudential, the UK's biggest insurer, has hired former broker Goldman Sachs to advise it.Prudential is understood to be in talks with MBNA, the biggest credit card company in the US, regarding the sale of its 79% stake in Egg, which is currently valued at [euro]1.3bn ([pounds sterling]1.87bn)

Prudential confirmed it was in talks, but refused to name MBNA as the possible suitor.

Egg appointed Goldman as broker following its flotation in 2000, but replaced it with Merrill Lynch for a major round of European roadshows in 2002. Sources said that Egg's board had been happy with Goldman, but was concerned it would not put up the necessary resources for its drive into Europe.

Prudential is understood to have hired Morgan Stanley, one of its regular investment banking advisers.

Both Goldman and Morgan Stanley declined to comment. MBNA was unavailable for comment.