IAG wary of unsolicited offers
Insurance Australia Group Limited (IAG) warned shareholders they may receive unsolicited offers that significantly undervalue their shares. The company said a company trading as Hassle Free Share Sales Pty Ltd has been contacting holders of IAG shares.
Additionally, IAG said Direct Share Purchasing Pty Ltd, has recently requested certain information from IAG’s share register and therefore may be preparing to launch another unsolicited offer for IAG shares.
The company said IAG was obliged to provide the requested information under the current provisions of the Corporations Act.
IAG Head of Corporate Affairs & Investor Relations, Carolyn McCann, reiterated that the company does not endorse any unsolicited share offer and urged shareholders to seek independent financial advice and check the current price of IAG shares before taking any action on such offers.
“Rather than accepting an undervalued offer, shareholders could consider either ignoring the offer or, if they want to sell their shares, selling them at the current market price through a broker who is licensed to trade on the ASX,” Ms McCann said.
IAG said since 2002, almost 16,000 IAG shareholders have agreed to sell their ordinary shares for less than market value.
As at 1048 AEST, IAG shares were down 1c to $3.74.
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