Prudential plans $2.89bn Hong Kong fundraise

Prudential PLC is planning to raise up to $2.89bn by issuing new shares as the insurer looks to redeem high-coupon debt due in six months and invest for growth.

The UK insurer is planning to sell 130.78 million new shares in the Hong Kong offer and has set a maximum price of HK$172 per share, Prudential said on 20 September.

The final price is expected to be determined on 25 September and the new shares would start trading on the Hong Kong stock exchange on 4 October.

“The board believes that there are clear benefits to the group and to its shareholders as a whole from increasing its Asian shareholder base and the liquidity of its shares in Hong Kong,” Prudential said.

On business prospects, the company said that significant Covid-19 related restrictions continue in many markets including Indonesia, Malaysia and Thailand. There also was continuing uncertainty over the extent and the timing of the reopening of the border between Hong Kong and mainland China.

“Prudential is now entirely focused on long-term structural growth opportunities in Asia and Africa,” Chief Executive Mike Wells said. “The share offer will maintain and enhance Prudential’s financial flexibility in light of the breadth of opportunities to invest for growth.”

Citigroup, Credit Suisse, BofA Securities are among banks advising prudential on the offering.

Write to P.R. Venkat at [email protected]

This article was published by Dow Jones Newswires

Most Related Links :
todayuknews Governmental News Finance News

Source link

Back to top button
Native News Post