Another smart deal at Aviva and one upcoming at Smiths Group
By Chris Bailey of Financial Orbit | Friday 26 March 2021
Disclosure: I own shares in one or more of the stocks mentioned. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from ShareProphets). I have no business relationship with any company whose stock is mentioned in this article.
First some more positive news for Aviva (AV) shareholders. A month ago, here, I discussed the positive decision that the UK listed insurance giant would sell its French business. Today it also announced the sale of its Polish business and yet again it is for a decent amount of money of over Euro 2.5 billion. This means that Aviva is now almost exclusively focused on their UK, Ireland and Canada businesses but also later this year can choose to pay a special dividend or seek to build further its core businesses. Frankly, I would do more of the latter, even if the yield is already c5%. As noted a month ago, I remain positive on this one and have a target share price well above the current 400p level.
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