Canada Life Financial Corporation, long considered a prime acquisition candidate, may soon find itself in new hands. Manulife Financial has made a hostile bid of $4.1 billion (C$6.4 billion) for outstanding common shares in the company. According to conditions of the offer, Manulife could pay out a maximum of $1.54 billion (C$2.4 billion) in cash and issue a maximum of 92 million shares.

According to Manulife, CEO Dominic D'Alessandro approached Canada Life last week with an offer of $24.36 (C$38) per share. After David Nield, CEO of Canada Life, rebuffed the carrier’s suitor, Manulife returned with an offer of $25.64 (C$40) per share or 1.055 Manulife common shares for each Canada Life common share, 30% over the weighted average trading price of shares of Canada Life over the last 20 days.

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