Aviva sweetens Direct Line bid to $4.33 billion, Bloomberg News reports (updated)

Ageas SA/NV

05/12/2024 16:18

(Adds details in paragraph 2; background in paragraphs 4 to 6)
       Dec 5 (Reuters) - Insurance company Aviva  AV.L  has
sweetened its bid for UK's Direct Line  DLGD.L  to about 3.4
billion pounds ($4.33 billion), or 261 pence per share,
Bloomberg News reported on Thursday, citing people familiar with
the matter. 
    The new offer is about 4% higher than Aviva's initial offer,
according to the Bloomberg report. 
    The revised proposal comes a week after the home and motor
insurer rejected the cash-and-share offer of 250 pence from
Aviva, calling the deal "highly opportunistic" and one that
"substantially undervalued" the company.
    Direct Line and Aviva did not immediately respond to Reuters
requests for comment. 
    Under British takeover rules, Aviva has until Dec. 25 to
make a firm offer or walk away.
    In March, Direct Line rejected a takeover bid of 239 pence
per share from Belgian rival Ageas  AGES.BR , which is around
8.4% lower than Aviva's latest 261 pence per share offer.


($1 = 0.7851 pounds)

 (Reporting by Anandita Mehrotra in Bengaluru; Editing by
Shailesh Kuber)
 ((Anandita.Mehrotra@thomsonreuters.com;))