Phoenix Group

[monabri]

https://www.investegate.co.uk/phoenix-g ... 00079054U/

- Phoenix Group to acquire SLF of Canada UK ("Sun Life UK"), a closed book UK life insurance company, for £248 million, funded from existing cash resources

· Attractive transaction pricing with a price to shareholder Own Funds ratio of 83%

· Acquisition is expected to deliver c.£470 million of incremental long-term cash generation

· Targeting c.£125 million of cost and capital integration synergies, net of costs

· Supports a 2.5% inorganic dividend increase payable from and including the 2022 Final Dividend


"Proposed dividend increase

The value and cash flow generated through this acquisition support a sustainable 2.5% inorganic increase in the Group's dividend, to take effect from and including the 2022 Final Dividend, subject to completion. This demonstrates the significant value to shareholders of smaller, cash funded M&A.

Ahead of the Full Year results, the Board will assess if organic business growth delivered over the year can fund a further sustainable dividend increase for 2022.

In future years, we intend to simplify our dividend communications by announcing any dividend increase at the time of our Full Year results, which will combine both organic and inorganic growth, rather than providing separate dividend guidance on announcement of future M&A."

[idpickering]

Thanks for your op. I hold PHNX in my HYP, and topped up my holdings this March. They're very much a mainstay in my HYP, and shall remain so too.

Ian.

[monabri]

Yield on offer now approaching just under 10%. Shareprice has fallen a lot in recent weeks. Not that long ( August) since they posted record H1 results.

[Alaric]

Yield on offer now approaching just under 10%. Shareprice has fallen a lot in recent weeks.

That could well be a response to rising interest rates and turmoil in the Gilts markets. Whether they are at risk from holding LDIs is possibly another issue,

[Dod101]

Yield on offer now approaching just under 10%. Shareprice has fallen a lot in recent weeks. Not that long ( August) since they posted record H1 results.

Unlike L & G, Phoenix has not as far as I know issued any sort of reassuring RNS, That might not be hurting, but it will be helping either

Dod

[88V8]

Yield on offer now approaching just under 10%. Shareprice has fallen a lot in recent weeks. Not that long ( August) since they posted record H1 results.

Unlike L & G, Phoenix has not as far as I know issued any sort of reassuring RNS, That might not be hurting, but it will be helping either

Chesnara likewise.
I hold all three but have enough that I will not be topping up.

V8

[idpickering]

Yield on offer now approaching just under 10%. Shareprice has fallen a lot in recent weeks. Not that long ( August) since they posted record H1 results.

Unlike L & G, Phoenix has not as far as I know issued any sort of reassuring RNS, That might not be hurting, but it will be helping either

Chesnara likewise.
I hold all three but have enough that I will not be topping up.

V8

I hold PHNX, LGEN and ADM, all of whom are weaker in sp terms of late. I get that the current climate may be the cause of the weaknesses, but it won’t sway my hand about continuing to hold them, for the long term. I might even buy more LGEN!

Ian.