Direct Line investors seek higher bid after rejecting Aviva's $4.2 billion offer, FT Reports (updated)

Ageas SA/NV

04/12/2024 18:22

(Adds company's response in para 3)
       Dec 4 (Reuters) - Key investors in UK's Direct Line
Insurance  DLGD.L  are holding out for a higher takeover bid
from Aviva  AV.L  after the rejection of its 3.28 billion pound
($4.17 billion) offer, the Financial Times reported on
Wednesday.
    The shareholders have supported the Direct Line board's
decision to reject the proposal and not to engage with Aviva in
further discussions, according to the FT report.
    Direct Line declined to comment.
    Last week, 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.
    Under British takeover rules, Aviva has until Dec. 25 to
make a firm offer or walk away.
    In March, Direct Line also rejected a takeover bid of 239
pence per share from Belgian rival Ageas  AGES.BR  that was 4.6%
lower than Aviva's offer.
    
($1 = 0.7870 pounds)

 (Reporting by Raechel Thankam Job; Editing by Anil D'Silva and
Alan Barona)
 ((RaechelThankam.Job@thomsonreuters.com))