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Breakingviews: Leak costs Aviva

11:00am GMT - 04:08

Aviva has to set out the key strategic and financial details of a tie-up with rival Friends Life – fast, says Breakingviews.

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So leave paying a high price often use leaks of a possible bid to buy rival friend's life that's what we told you about a breaking news today I'm excited to Chris Hughes. I'm if it's up except. Pretty Nazi scenario for Vivus is now the way this has happened. He'd be when you look doing a really big cut a deal like this wouldn't say it's transformational but dismissed it as big forum for these are you ready wanna get. Everett fitting. Agreed on before you meet through announcement. Now. He's been bumped into. Revealing what's going on and house though some of the terms agreed say. It has agreed the cool financial. Senate race or two with friend's life. But we've done half Leo that the town and say this morning in the market reaction is saying I'm on amendment. What's going on yeah. This is a company that we fool was moving away from the UK now it's bulking up from the UKA. I'm we don't how all of the financially tells bus and inches and I must say you Vivus has has been sold off. And as a result the the see through value of it softens going down to in fact. Both companies to get now all as we speak in both quite a Droid came into the room. Well. Collectively worth less than they were over Friday and on and this is history I hasten to stick it. Yeah anywhere and you have told your medicine and she's actually get a Bernstein at one point seven billion pounds in synergy revenue synergies. More than offsetting the premium deal for premium. Accorded to deal for shareholders by friends like kind of even put on the face of a bad deal for friends no great surprises that. Another analysts said this is nothing more than a rights issue in disguise and you made it similar komen. On Friday today. Is that it. Well look what's going on it winds that he's a keen to do this how's that doing one of the big attractions all friends for a fever is it's a lot less indebted so. When you put the teeth to get. You know the depth profile of the combined NC and but is supportive for a beavis finances and in particular for its dividend. How is that even present papers what it wants to if you fast so it can stand back this is the to the rights if you point your stomach and go well look. And beavers at peace is issuing shares says that it can get cash. Well in that sense that looks a bit like a rights issue I think it is a bit unfair and a moves on Friday. But because that there are clearly can it be some of incidents in which is here that's gonna be some basic costs coaxing. And there is a cross selling story though wouldn't want wouldn't want to put too much for audio and investors who think optimistic that you would have won approach to try to right now but. It does make sense that can be some cross and the benefits that. It's that it is a very financially driven deal yes they'll it shouldn't says yes to get hold of cash indeed get a balance sheet. Just as you would in the rights issue but there's more to them. Webb who are just there's always went where he can we are now I am I mean there are obviously vive results. Substantially. Friends is opt I'm does that continue old old old one cents to get. Well market is tiny right now than that of the yourself home blues saw quite surprised by what's going but what bubbles going on the still need to be convinced review of the benefits of this and then maybe they may be worried about inflation is coming in maybe some of life for an NC creating a bit of an auction has say. There is a sense that the friend's life. That those cells are gonna get something better of this Matalin. On Friday that there's going to be some kind of transaction that. Whether it's a thief that actually. And looked at the bar and those look on the ball that's an as Hezbollah in the times that it has closed on Friday the lets them. OK I can Christmas enforcement pursues breaking news. Bad accidents and it's a problem sources.

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Breakingviews: Leak costs Aviva

11:00am GMT - 04:08

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