Having promised on Thursday that it would raise money from disposals, insurance giant Aviva has moved quickly to act on that pledge by saying it will sell more of its stake in Delta Lloyd than originally intended.
The original plan was to offload up to 25m shares in the Dutch insurer by way of an accelerated book-building operation in the market but demand has been so strong the size of the disposal has been increased to up to 37m shares, equivalent to up to 21% of Delta Lloyd's issued ordinary share capital.
If all the Delta Lloyd ordinary shares available in the offering are sold, Aviva's remaining stake would comprise approximately 34m Delta Lloyd ordinary shares, equivalent to just below 20% of Delta Lloyd's issued ordinary share capital (including treasury shares) and 19% of Delta Lloyd's voting rights.
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In addition, Aviva will commit to a longer lock-up than previously announced, and will now undertake not to dispose of more Delta Lloyd shares outside the Aviva group for a period of 180 days
Aviva said the larger disposal will accelerate its strategy, outlined on Thursday, of narrowing focus on fewer business segments and building financial strength.
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