Any talk yet whether the Competition and Market Authority are going to stick their oar in here? |
I was also surprised about that, no mention whatsoever on the BBC business news today. |
I wonder why the BBC has not reported this story |
Cheerio son and don't forget to take your crystal ball with you 😆 |
This will be my last chat on this thread .
No mate - if the deal is not completed before Aviva next ex div date , once Aviva dividend went ex - div, Aviva share price will be reflected and discounted by the approx the same Aviva dividend , so if I were you better to hold DLG at least now DLG got a good discount . Leave it to all of you to decide whether I am right or wrong , I am sure someone on this board will object to my view anyways in life one cannot win get everyone agrees . HAPPY DAYS FOR ME BYE BYE . Good Luck to those who followed me the last couple of weeks . Thanks for following my thread |
With Av. currently holding steady at around 457p, the value of the bid is just under 261p + any DLG dividend 'up to 5p'.
The current DLG price is a 6.25% discount to the total bid price.
Assuming the 5p is paid and that the deal completes by end of June 2025 then, in my view at least, I will likely keep most or all of my DLG for the 6.25% return in a max 6 month timeframe.
That said, I could cash out my DLG sooner and reinvest in AV to secure their possible c. 22p dividend declared in April, paid in May, which will likely be prior to the issue of new shares for DLG.
If my maths is right, a 22p dividend per Av. share at 457p is worth 12p per DLG share at 250p |
if all goes well , any idea when this deal could be compleated and i wll have share in aviva |
Tricky to know if its time to take my gain now. I don't have another home lined up for the money but equally, its not a profit until its banked! |
 Aviva and Direct Line expect the Scheme to become Effective in mid-2025. The Long Stop Date allows for the possibility of a later Effective Date and the parties have agreed certain further arrangements relating to dividends to cater for a situation where the Acquisition completes later than expected:
· If the Effective Date occurs after the record date for Aviva's FY25 interim dividend, Direct Line will be entitled to declare and pay additional dividends prior to the Effective Date of up to 2.0 pence per Direct Line Share in aggregate (subject to Direct Line Board approval).
· In addition, if the Effective Date occurs after the record date for Aviva's FY25 final dividend, Direct Line will be entitled to declare and pay additional dividends prior to the Effective Date in accordance with the Direct Line Dividend Policy of up to 10.6 pence per Direct Line Share in aggregate (subject to Direct Line Board approval).
· In addition, if the Effective Date occurs after the record date for Aviva's FY26 interim dividend, Direct Line will be entitled to declare and pay additional dividends prior to the Effective Date in accordance with the Direct Line Dividend Policy of up to 4.2 pence per Direct Line Share in aggregate (subject to Direct Line Board approval).
If on or after the date of this Announcement and prior to the Effective Date:
· Any dividend is declared by Direct Line which exceeds the limitations agreed with Aviva, Aviva shall be entitled to reduce the cash element of the Offer Consideration accordingly.
· Any dividend is declared by Aviva which exceeds the limitations agreed with Direct Line, Direct Line shall be entitled to declare an equalising dividend to Direct Line Shareholders. |
Ah, OK thanks for clarifying. |
It's fixed at 0.2867 New Aviva Shares;
129.7 pence in cash; and
up to 5 pence (in aggregate) in the form of dividend payments to be paid (subject to the approval of the Direct Line Board) prior to Completion
for each DLG share held. |
The higher the AV. Share price the better for them as less shares issued.. surely? So I'd expect between now and takeover completed they'll be talking this up as much as possible. |
Yes precisely, AV. is down a bit which affects the DLG price, as does the time value of money and small risk discount remaining. |
The offer is going to be a moving target based on the Aviva share price/share element of the deal so there is a ‘risk’ built in. I assume 250p today just reflects the risk of holding over the coming weeks for an extra possible few pence. |
Would you not have expected the share price to be higher early doors? Not sure why there is selling around 250 |
Stevensupertrader, PLEASE, discuss the company and the deal by all means-but no more personal comments, that's not what this thread is about.
Thanks |
At the current av price the offer is worth a smidge over 260p plus the 'up to' 5p dividend so, depending on the av price reaction today, I guess that we might see a 10p jump in dlg at the open today? |
It's going to take a few months..
"..it is expected that the Scheme Document containing further information about the Acquisition and notices of the Court Meeting and the General Meeting, and which will be accompanied by the Forms of Proxy, will be published beginning-mid February 2025. The Court Meeting and General Meeting are expected to be held in March 2025. The Scheme Document will specify the actions to be taken by Direct Line Shareholders and will contain an expected timetable for the implementation of the Scheme.
· The Scheme is expected to become Effective in mid-2025" |
Merry Christmas and Happy New Year, well done to those who waited ! |
Here it is!
The boards of Aviva and Direct Line are pleased to announce they have reached agreement on the terms of a recommended cash and share offer for Direct Line (the "Acquisition").
· The Acquisition builds on Aviva's strong performance over the last four years, with Aviva having been transformed into a high-performing business with a clear strategy. The Acquisition will accelerate Aviva's momentum and will offer customers and shareholders a number of benefits as set out below.
· Under the terms of the Acquisition, each Direct Line Shareholder will be entitled to receive:
For each Direct Line Share held:
0.2867 New Aviva Shares;
129.7 pence in cash; and
up to 5 pence (in aggregate) in the form of dividend payments to be paid (subject to the approval of the Direct Line Board) prior to Completion
(together, the "Offer Consideration")
· Based on the Closing Price of Aviva Shares of 489.3 pence on 27 November 2024 (being the last closing share price before the commencement of the Offer Period), this values each Direct Line Share at 275 pence and values the entire diluted share capital of Direct Line at approximately £3.7 billion.
· This represents a premium of approximately:
° 73.3 per cent. to the Closing Price of 158.7 pence per Direct Line Share on 27 November 2024; and
° 49.7 per cent. to the six month volume weighted average price of 183.7 pence per Direct Line Share to 27 November 2024.
· Upon Completion, it is expected that Aviva Shareholders will own approximately 87.5 per cent. and Direct Line Shareholders will own approximately 12.5 per cent. of the issued and to be issued share capital of Aviva. |
Don’t shoot the messenger - I just related what I heard - that’s all.
It definitely will happen , just have a little patient Pal . Sleep well. Goodnight . |
Bounty,They could also ask for an extension, but there would still need to be an RNS for that too. |
I think what people are getting at is that you said the deal would be announced on Friday just gone based on some inside knowledge. Clearly that info was completely false from you. So do not pretend you have any better idea than anyone else because you don't. It most likely will happen of course. |
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