Aviva Share Discussion Threads

[ayl30] 09/6/2021 07:05

Activist turns up heat on Aviva chiefhttps://www.thetimes.co.uk/article/2d4fbc08-c881-11eb-b255-82dcc5007185?shareToken=29086e9de90d18c8c131f020379c293c

[bothdavis] 08/6/2021 22:32

Seems even more odd when they could have bought in at @£2.50 around a year ago??

[1robbob] 08/6/2021 21:07

The £64,000 question is:
Why did Cevian choose to go public now and with such a strange and strident statement.
Odd tactic if relations with the Board are so good and they have a 3 year time horizon?

[klotzak] 08/6/2021 20:56

There's going to be a manoeuvre by the BoD to regain the initiative. They, not one singular person, have done well so far.... rather than just sitting on the money til the autumn they need to put it to use...

[wskill] 08/6/2021 20:06

The hedge funds take stakes for one reason only to make a profit from it,Aviva is now in play we will get to know about this in the fullness of time.

I am sure they have done the rounds of likely buyers and have an inkling of the price they are prepared to pay.

Of course we will be the last to find out this information but this must have been in planning when AB was employed, and the reason that she worked at pace in selling the subsidiaries 'around the world as why let the hedgies have all the profit which I must say seems to have worked in shareholders favor.

[smurfy2001] 08/6/2021 19:58

Or could it be they took that stake for another reason ;)

[scrwal] 08/6/2021 18:50

Swedish actually.

[1robbob] 08/6/2021 18:34

Makinbuks
I think Cevian is European

[makinbuks] 08/6/2021 17:49

I agree Richie RSA could very well be the model here.

I'm still somewhat at a loss as to the lack of an RNS on the acquisition of a 4.95% stake. The annual report also failed to give them a mention despite being updated to 31st March

1rob, that's a great point about making a share buyback less likely although Cevian being American will no doubt push for it

[richie1218] 08/6/2021 15:36

I for one will take the £8 per share within three years, and have the larger 45-50p dividend.
but I have a feeling we will be taken out before then.. look what happened to RSA...

[smurfy2001] 08/6/2021 15:30

Aggressive buy back and larger dividends is something l look forward to.

[1robbob] 08/6/2021 15:00

Thoughts on today's announcement

1) The likelihood of the Return of Capital being primarily achieved by a Share Buy-Back Programme, must have receeded considerably.

As it is unlikely that a meaningful number of shares could be purchased with an Activist Shareholder in place

Also, the Board have a dilemma - The more they reduce the number of shares in issue the larger Cevian stake becomes in % terms !!

2) Cevian have effectively put AV in play at 700p (800p discounted baack at 5% for 3 years)

I strongly think that the Board (Culmner and AB) and the Large Shareholders - now including Cevian - have all along been working on a 700p exit for AV, ever since Tulloch's disasterous 'Business Review' and his subsequent removal.

[engelbert1969] 08/6/2021 14:40

Aviva and why some companies are wary of special dividends

[bg23] 08/6/2021 13:15

it does seem to me that Cevian are pushing against an open door with their 'activist stance' the only thing I can see is that they are looking for increased cost cutting, aka, redundancies and staff efficiencies.
Surely its easy to tell a story thats already been told. the only thing that is in their favour is that they have put other peoples money where their mouths are.

ps. I've held for the last 7 years or so, so below entry level, even with income, but happy to continue to hold.

[scrwal] 08/6/2021 12:50

£8 and 45p div in 3 years seems an unlikely target for the pared down company especially if most of the cash is "distributed" to shareholders. It's like they have just doubled the current figures.

At least I am now in a profit , temporarily.

[eurofox] 08/6/2021 12:46

The journey is just beginning.

[oggyrocks] 08/6/2021 12:38

Makinbucks - seem like they have built their position in last 6 months.


Cevian, which manages more than $16bn on behalf of about 350 pension funds, endowments and other global investors, started building its Aviva stake early this year, according to a person familiar with the matter. With a 4.95 per cent holding, the Swedish group is now Aviva’s second-largest shareholder after BlackRock.

[father jack1] 08/6/2021 12:36

Cevian are talking a good game but one wonders what their position would be if a heavyweight tables a 600p offer? Still, they pushed it through the 420 barrier.

[1robbob] 08/6/2021 12:21

I wonder what the Charts say now !!!!!!!

[eurofox] 08/6/2021 11:39

Anyone can see that this stake has been built over a period of weeks, all they had to do was sit on the bid and gradually accumulate what was being sold by bored investors and end-of day day traders. Pepper it up by removing the bid altogether occasionally, so that day traders are relieved of their shares even more quickly by their own nervous momentum and bob's your uncle.

[makinbuks] 08/6/2021 10:53

Do we know when Cevian acquired a 4.95% stake? Doesn't seem to have been a recent announcement and not mentioned in the FY20 Accounts

[anthony100] 08/6/2021 10:48

Ha

God bless Carl Icahn.This might put Av. On the buy radar...at last.

£5 and I'll start buying better wine to swig at night.

[spud] 08/6/2021 10:35

I've had a buy order @ 410p in the Market for my Share ISA which I'm hoping was triggered yesterday. I also had a sell on 4k in my trading account @ 420p. Once I've finished my coffee I'll go upstairs to the study & check. spud

[meijiman] 08/6/2021 10:32

They are right to say that this company has been poorly managed..but the new lady seems to be making a decent fist of it so far.