According to the chief executive at Canada Life, the speculation of £4,000 windfalls for shareholders is not clear-cut.
Mr Gilmour said that Manulife who are intending to take over Canada Life had told shareholders that they could receive a windfall of £4,000. He said that payouts could be significantly less as the windfall was to be £26 per share.
Mr Gilmour said that in order for Manulife to acquire control of the company they need to obtain two thirds of the shares. They currently have 9 per cent. He was concerned that staff at Canada Life would worry for their jobs if people assumed that the firm acquisition was imminent.
We believe that Manulife have made no further comments regarding their proposed hostile take-over.
See the previous take-over article.