Aviva has agreed terms with Friends Life for its £5.6bn takeover of the group, which will create the UK's largest insurance, savings, and asset management firm.
The deal will see Friends Life shareholders receive 0.74 new Aviva shares for each Friends Life share they hold. The proposal values each Friends Life share at 394p, a 15% premium to their 20 November closing price, the day before the talks became public. It also represents a 27% premium to the insurer’s average closing share price over the three months to 20 November. Based on the closing price on 1 December, the deal values each Friends Life Share at 370p, an 8% premium to 20 November's closing price. Friends Life's existing issued ordinary share capital is valued at £5.6bn. S...
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