Shares digital

Friends Provident (FP.) 130.7p

Friends Provident has rejected a 150p cash offer proposal from private equity group JC Flowers valuing the life assurer at £3.5 billion.

(Read the full story: www.sharesmagazine.com/node/3748)

Shares says: Other bidders are unlikely to materialise so after the jump in the share price at the start of the week it’s safer to sell the shares.

The Telegraph says: Flowers’ move was described by analysts as a ‘gambit’ with a higher offer expected over the next few weeks.

FT says: Friends Provident is coming under increasing pressure from shareholders to talk to JC Flowers after the embattled life assurer rejected a £3.5 billion takeover approach.

The City says: A cash offer over 20% above the current share price may well be acceptable to shareholders, many of whom initially bought the stock as a growth situation

and have been exasperated by subsequent events.