RSA Insurance surges on Allianz bid talk-traders

LONDON/FRANKFURT, Sept 5 (Reuters) - Shares in RSA Insurance (RSA.L) surged 5.8 percent on Friday as traders cited market talk of bid interest from Allianz (ALVG.DE), which agreed this week to sell its Dresdner unit to Commerzbank (CBKG.DE).

RSA and Allianz both declined to comment.

A trader said there was rumour of Allianz looking to bid for RSA Insurance for 225 pence per share.

Speculation has swirled on RSA in the past week, with talk of bid interest from Zurich Financial Services (ZURN.VX).

Allianz shares were down 2.2 percent.

More than 17 million RSA shares changed hands by 0956 GMT, compared with a full-day average of 21.1 million in the past 30 days. (Additional reporting by Lorraine Turner) (Reporting by Dominic Lau and Hakan Ersen)