Oofy Prosser
24 Nov 2014
Re: High dividend replacement I am a holder, and holding for the time being. There are a lot of t's to be crossed and i's to be dotted before we have the final picture of this, but having been with Resolution from the start, and made a fair bit buying and selling it, I have an enormous amount of faith in Cowdrey as a deal maker. I am not sure whether there is much downside for FLG holders from here either, if it falls through - are we worse off ? If it goes through - well it was trading in the 3.20s earlier this month; hard to see it at least not holding the 15% gain it currently has on that. My view is that Cowdrey will want at least £4 / share on the deal, as a fair value of FLG.Anyway, the above is just my view, what you do is up to your wider strategy, I guess.As an alternative divi provider, my main rec at the moment would be GSK (which I hold), paying just under 5.5%, a likely additional div next year, and prospect for growth from current levels too. It is an obvious pick, but obvious for a reason.GLAOofy.
oldjoe1
24 Nov 2014
Re: Strong Hold Canaccord Genuity has lifted its target price for insurance firm Friends Life from 340p to 400p and repeated its 'buy' call, saying that the £5.6bn takeover offer from rival Aviva is a "good price" for shareholders.While they have lifted their target price to equal the possible offer, analysts said they see potential further upside from this level when more details about synergies from the deal are known
nncalc
24 Nov 2014
Re: High dividend replacement Take a look at Infinis (INFI). Came to the market exactly a year ago at 260p. Prospectus told us to expect div of 18.3p pa. Company has done all it said it would so far and is now around 220p so the yield would be 8.3%, making it the highest yielder in the 250. Market has been confused because the first div was proportionate - 6.7p v 12.2p. Just gone ex div for 6.1p interim, so div rates shown are based on 12.8p or even 6.7p. The company is in renewable energy, mainly from waste tips with a growing wind stream. A bit of hydro but not very significant.
Warthog4
24 Nov 2014
Re: Strong Hold As at 14.40, 100 shares in FLG = £363 74 shares in Aviva= £377.unless I have misunderstood the mechanics of the proposal of course.Approaching "parity" and deal seems a total non-starter.
km1
24 Nov 2014
Re: High dividend replacement Hmmm, also looking for a replacement for FLG. Any thoughts on a replacement guys, I am looking for 4.5% to 5.5% divi.
budu
24 Nov 2014
Re: High dividend replacement Got out at 372.848
aimforthesky
24 Nov 2014
Re: High dividend replacement Don't fancy Carillion as I have been dabbling with BBY in my SIPP and it has put me off builders, Legal and Generals divi is a touch low for my target.Considering splitting it 50/50 between morrissons and Sainsbury.
oldjoe1
24 Nov 2014
Re: Strong Hold Aviva paying 'good price' for Friends Life, says Canaccord GenuityMon 24 November 2014 09:22 | A A ANo recommendationNo news or research item is a personal recommendation to deal. Hargreaves Lansdown may not share ShareCast's (powered by Digital Look) views.Canaccord Genuity has lifted its target price for insurance firm Friends Life from 340p to 400p and repeated its 'buy' call, saying that the £5.6bn takeover offer from rival Aviva is a "good price" for shareholders.The companies announced that they had agreed on terms for a possible all-share combination. Friends Life shareholders would get 0.74 Aviva shares for each Friends Life share they own, valuing Friends Life at 398.9p per share.This is equal to a 15% premium to its closing price on Friday and a 28% premium to the three-month average, and close to its embedded value in the first half, Canaccord said.Due diligence is now under way and Aviva has until 19 December to make a formal offer."We think this is a good price for Friends Life shareholders, as they should receive around embedded value for the business, albeit in shares, and not cash," said Canaccord analysts Ming Zhu and Ben Cohen.While they have lifted their target price to equal the possible offer, the analysts said they see potential further upside from this level when they have more details about synergies from the deal."To a large extent, Friends Life's fair value will now be determined by Aviva's share price, while Aviva's share price will be determined by the enthusiasm by its shareholders for the industrial logic of the deal."Assuming an offer is made by 19 December, the details of planned synergies and cash-flow will be key to Aviva's share price performance."Friends Life was trading 5.6% higher at 367.1p by 09:52 on Monday.
aimforthesky
24 Nov 2014
Re: High dividend replacement 1 Aviva share for each 0.74 FLG as far as I know.
TX2
24 Nov 2014
Re: High dividend replacement LOL aimforthesky lets not be too churlish!At least the capital value of our shares are up on this takeover approach and even if it does not suceed FLGs merits are likely to be better seen,like you I am a value investor and like companies that pay a good sustainable divi, if we pick as we hope the right shares then takeovers or at least approaches are an inevitability from time to time as others are going to see value eventually.
bajb
24 Nov 2014
Re: High dividend replacement LEGAL AND GENERAL ... OR ... CARILLION?
Barney the cat
24 Nov 2014
Re: High dividend replacement Do you have a source for this information?
mtap
24 Nov 2014
Re: FLG Chart Breakout, very positive Out this morning at 367pNow to find another high yielder. No rush
aimforthesky
24 Nov 2014
Re: High dividend replacement Aviva is down valuing FLG at 381
cashpharma
24 Nov 2014
Re: High dividend replacement Doesn't look like the city thinks the deals a goer. 5.5% up! Wheres the 15%?
