NU Online News Service, Jan. 13, 10:31 a.m. – Canada Life Financial Corp., Toronto, says its board has officially rejected an unsolicited, informal takeover offer from Manulife Financial Corp., another Toronto life insurer.
Canada Life has mailed investors a circular justifying its argument that the price Manulife has offered for the company is too low.
Manulife has insisted that its offer for Canada Life, which is worth about $4.1 billion in U.S. currency, is a good deal for Canada Life shareholders, given the current price of Canada Life shares.
But two large investment banking firms, BMO Nesbitt Burns and Credit Suisse First Boston, agree that the Manulife price is inadequate, Canada Life says.