Direct Line Insurance Share Discussion Threads

[city1911] 13/3/2024 18:21

Let's hope the results next week and the forward looking statement provide justification for DLG kicking the offers from Ageas into touch!!

[carpingtris] 13/3/2024 17:15

Also thinking (over-thinking), sure that last offer wasn't a typo? Lol

[carpingtris] 13/3/2024 17:13

Just thinking but if they got wind of another offer on the 9th how come it took till today to say anything?? Surely should have been Monday 7am news?

[nellynell] 13/3/2024 16:54

Yep I concur. The Dividends will be back this year thats a nailed on certainly. Question is whether we will get one announced next week or with the interim results further down the line. A few people have mentioned the dividend will not be the same as before which is true but direct line will now with good management be able to grow the customer base.

Let's not forget the new 750k of customers from the mot ability insurance will also be on the books now. Furthermore Direct line did also announce a new low budget insurance without the bells and whistles which we will hopefully have some insight on with the results. Recent results from the likes of Admiral and Aviva does suggest the worst is now behind and policies are now being written well in profit.

Prices it seems have peaked so everything should now be stabilising. I will be happy for a 10p dividend for 2024. Like I said before I rather prefer constant Dividends which will definitely be back this year unless of course we receive an attractive offer. As for the offers by Ageas I am very happy the board is basically telling them to stop wasting our time they need to concentrate on running the company instead of entertaining these tyre kickers

[pander45] 13/3/2024 15:13

Odd price action here.

[con90210] 13/3/2024 12:48

Slightly disappointed not a higher bid but at least this gives a better valuation of the business rather than that 1.60p nonsense. Happy to hold longer for dividends.

[laurence llewelyn binliner] 13/3/2024 12:44

Reinstate the dividend and DLG will be bought for the return, that is the key support for the share price and give PI holders / Institutions a reason to keep holding them.. :o)

Interesting times next week for sure with our new CEO at the controls, PJ did a lot of damage by allowing the company to get into a position where it had to cancel the payout costing most shareholders something close to 50% of capital..

[pander45] 13/3/2024 12:42

He has to smash it out of the park to justify rejecting the offers on the basis of them not meeting true company value. Nothing short will of a slam dunk by him will suffice.

[alex1621] 13/3/2024 12:39

That is true. The new CEO needs to impress on strategy going forward.

[stevensupertrader] 13/3/2024 12:35

I presume the result on 21 March would be reasonable otherwise DLG Board won’t reject the second offer outright without a thought on the offer .
Otherwise DLG will keep the offer communication going rather cut it off - this is like playing card poker - if one doesn’t have a reasonable hand , one won’t pretend and up the opposition ( after the opposition already shown its full set of cards 😂) . This is just logical human common sense ie someone with a little IQ .

[pander45] 13/3/2024 12:26

If the update isn't good next week the board have a real problem on their hands. Rock and hard place.

[jason29] 13/3/2024 12:26

Any danger Ageas have insight in to the Results and they are going to be significantly worse than we are all hoping for, hence only the slightly better offer?

[alex1621] 13/3/2024 12:24

If the update next week is good they will have to up it considerably or walk away.

[stevensupertrader] 13/3/2024 12:23

Ageas to succeed with all cash ( rather than a mix of cash and shares or much larger proportion in cash or increase offer to 10% from the 1st offer.
Definitely Ageas Board will come back for another bite at the cherry as the offer closes 27th March 2024 . IMO DLG can buy - still got at about 10% meat 🍖 left on the bone 😊

[pander45] 13/3/2024 12:23

250 is the deal point I think here.

[tuftymatt] 13/3/2024 12:21

It's because they have to borrow to do it so are being prudent.

There is still a deal to be done here at 250 but if DLG want more then it won't be with Ageas I think.

Good luck all 👍🏻

[vikingwarrier] 13/3/2024 12:17

COnsidering that the pound is low and takeovers should be cheap just now. So WHY are they being so cheap?

[pander45] 13/3/2024 12:08

This has some distance to go yet......250 would be my final guess, or close.

[stevensupertrader] 13/3/2024 12:00

Ageas second attempt to bite the cherry 🍒 is not serious just 0.07b more than the 1st offer Ie about 2% more than the 1st offer with a slightly better in term of cash .
By Ageas silly 2nd offer , DLG share price will propel upwards this now making it much harder for Ageas to succeed . Definitely Ageas board is acting childish and naive .

[fenners66] 13/3/2024 11:57

Ageas have issued their own RNS - they claim the offer is worth 239p which is just a bit more of an uptick.
And of course they have altered the cash component from 100 to 120
Obviously there are variables in play here, their share price and the FX rate.

[huckers] 13/3/2024 11:53

I forget...did Ageas build up a small holding in DLG? I wonder if that will be sold down quickly or not, if they did.

[wba1] 13/3/2024 11:50

The new Ageas offer is really odd. They must have known it would be rejected and it makes them appear not serious. I could have understood 245-250, but a 2-3% uplift on an offer dismissed as grossly undervaluing DLG by the board seems meaningless. It appears to put Ageas into play almost as much as DLG is already, given the recent comments from Generali. I sliced half my holding at 217 but I appreciate that was reasonable only because I bought all the way down. Good luck all. I have no idea what Ageas are up to as I have never seen such an increase on a bid before, except at the end of an auction.

[tuftymatt] 13/3/2024 11:35

The more I think about this the more I think Ageas will come back with another offer.

It's no different to buying a house or a car in that you put low bids in and hope for the best. When they are not accepted you have to get a bit more real but don't have to do that all in one go.

The price reaction seems to be pointing in that direction too now as it's climbing back up slowly. It was an improved offer at the end of the day so implies better value for the business than we knew for sure a few hours ago.

Good luck all 👍🏻

[huckers] 13/3/2024 11:33

Really very strange to make such a minimal improvement in the offer knowing full well it would not be remotely acceptable to major shareholders. You have to wonder if this is part of some sort of longer game?