LONDON, Feb 28 (Reuters) – British home and motor insurer Direct Line (DLGD.L), opens new tab said on Wednesday it had rejected a 3.1 billion pound ($3.92 billion) offer from Belgium-based rival Ageas (AGES.BR), opens new tab which “significantly undervalued” the company.
Direct Line’s shares were trading up 24% at 204 pence at 1533 GMT. They had soared as much as 29% to a 13-month high after Ageas said it was proposing an offer valuing the FTSE 250 insurer at 233 pence per share, a 43% premium to Tuesday’s closing price.
