When will this be announced?
Direct Line, the insurer that was spun out of Royal Bank of Scotland, is on course to win a place in the FTSE 100, with drink can maker Rexam and housebuilder Barratt Developments at risk of losing their blue-chip status. The insurance company is the most likely candidate for promotion from the mid-cap FTSE 250 to the benchmark index when FTSE Group carries out its quarterly index reshuffle early next month. The indices company bases its review by ranking businesses by market value. The insurer was floated in October 2012 at 175p a share, giving it a market capitalisation of £2.6bn that has since swelled to £4.3bn. The stock closed down 1.3p at 287.3p on Friday evening. However, Direct Line’s entry into the FTSE 100 could boost its shares, as tracker funds will buy the stock before the review in anticipation of its promotion. Direct Line would enter the FTSE 100 at the expense of either Rexam or Barratt. Rexam was an original constituent of the index in 1984, when it was called Bowater. Although it has been relegated from the index twice, Rexam has been a stalwart in recent years. Barratt has also been in and out of the FTSE 100, though being relegated next month would make its latest stint very short, as it was only promoted in March. The result of the latest index review will be announced on September 3, based on the closing prices the night before
With ex-div date hitting anything less then a 14.4p drop is technically an increase.
You will also note that there are alot more larger size buys, blocks of 10k, 20k going through. If this continues for the day it shows a good indication of pricing.
Be suprised to hear any news further to what we already know.
As mentioned previously, there is reference to the International division, namely DL Italy and DL Germany. 'Strategic review of International, with potential disposal being explored' , as indicated this could help further the push on promotion to FSTE 100.
Feel good factor about tomorrows results, really hope the £3 can be broken through.
The spotlight that the press reported would hit the insurance industry once the commision got its paws on it seems to still be having a slowing effect. Imo. I've targetted £3 by dec 2014 but it appears to have become a ridiculasly optimistic figure looking at it now. I too have been buying since the float and with the mention of ANOTHER special dividend i'm starting to doubt dumping. Furthermore why this hasn't attracted more interest is beyond me, thats something I really couldn't care less about as long as the growth contines.
Just cleared 11:57 250,000 Buy* 284.50 711.88k Ordinary
These are due on 01082014, could provoke some more movement, hopefully a kick upto £3.
Furthermore; Insurer Direct Line (LON:DLG) could afford a special dividend of £300m if, as likely, if it concludes a disposal of its Italian and German motor insurance businesses. UBS adds a special would be management's most aggressive move to date and would send a clear signal on shareholder focus. A dividend of £300m is equivalent to 20p per share (7%) and would enhance return on equity by around 0.6%. 'Buy' with a 281p price target.
British insurer Direct Line is in advanced talks with several industry players to sell its operations in Germany and Italy, two sources close to the deal said. At least four suitors have submitted non-binding bids for both of the units, which sell motor insurance through the Direct Line brand, said one of the sources who cannot be named because the talks are private. The combined value of Direct Line's German and Italian business stands at around $500 million, said the second source. Goldman Sachs has been hired as an adviser to Direct Line. The sale will involve another round of binding bids before a final buyer is selected in late September, the sources said. Direct Line, which has a market capitalisation of 4.13 billion pounds ($7.03 billion), was not available for immediate comment. Goldman Sachs declined to comment. Deal activity in the insurance sector has ramped up this year, helped by the stock market listing of Dutch insurer NN Group, Europe's biggest initial public offering (IPO) of 2014. A sale of its Italian and German businesses would leave Direct Line with a presence only in Britain. The company, whose brands also include Churchill, Privilege and the Green Flag roadside recovery service, was spun off from Royal Bank of Scotland in an IPO last year. The company gets more than 40 percent of its revenue from motor insurance and about 25 percent from home insurance. It also offers travel and pet cover. Direct Line, which has been active in Germany and Italy for more than 10 years, increased its overall annual group pretax profit to 424 million pounds in 2013 from 249 million pounds in 2012.
http://www.postonline.co.uk/post/news/2355099/dlg-reportedly-in-advanced-talks-over-german-italian-disposals Forgot to include link
Reports showing that DLG are looking at offloading Italian and German assets. Possibly leading to another special divi, or we can hope.
There we go! Doesnt look many took any notice of us jumping on board in January. Long may it continue
Some value compared with other insurers, as I've said previously.
Its very positive to see these results. The claims over the last year due to the weather will have hampered the potential aswell. 1st full year as a listed company and I believe that it will continue to rise, inclusion into the FTSE100 will boost. Very good atmopshere about the place right now.
I predict some heavy buys ahead of Mondays results.
Looks like the sale of Tracker corp has been finalised. What are peoples thoughts on this? Spec dividend to be called again possibly?
I noted this as a buy at 565 before finals. This appears very undervalued and pointed at buy Mogie. I'm excited ahead of the results.