Prudential eager for Hong Kong listing

by Gill Montia

Story link: Prudential eager for Hong Kong listing

Prudential is accelerating its plans to list on the Hong Kong Stock Exchange.

The insurer has recently agreed terms with American International Group (AIG) to acquire AIA, the Asian business of the embattled US insurance giant, for $35 billion in cash and shares.

Once the sale was agreed, AIG decided not to pursue an initial public offering (IPO) of AIA on the Hong Kong Stock Exchange

Meanwhile, Prudential is planning a rights issue to help fund the transaction and a Hong Kong listing could therefore attract investors who showed interest the abandoned AIA IPO.

Prudential says it is not proposing to offer new ordinary shares in connection with the dual listing but Asian investors who buy Hong Kong listed shares will be able to participate in the rights issue.

Credit Suisse, HSBC and J P Morgan Cazenove are acting as joint global co-ordinators and joint bookrunners on the rights issue.