25th Sep 2019 10:13
(Alliance News) - Prudential PLC on Wednesday said it has submitted to the UK Financial Conduct Authority applications for both the demerger of M&G Prudential and the listing of its shares on the London Stock Exchange.
In mid-March 2018, the life insurance company had announced that its UK & Europe business, M&G, would be demerging from Prudential, resulting in two separately listed companies, "with different investment characteristics and opportunities". After the proposed demerger, Prudential PLC itself will operate in Asia, Africa and the US.
On completion of the demerger, existing Prudential shareholders will hold interests in both Prudential and M&G.
"Independence gives us an exciting opportunity to grow our business by scaling our high-quality savings and investments solutions, both in the UK and internationally. Demand for our propositions is strong and growing, as societies age and savers seek yield," said M&G Chief Executive John Foley.
"Our unique business mix and our proven record of growing new businesses in the UK and internationally means we are well-placed to deliver not only great customer outcomes, but also attractive total returns for our future shareholders," added Foley.
Prudential said in intends to make a further announcement late Wednesday after the circular and the prospectus have been approved by the FCA, the UK's financial services regulator.
Prudential shares were trading 1.8% lower on Wednesday in London at 1,394.25 pence each.
By Evelina Grecenko; [email protected]
Copyright 2019 Alliance News Limited. All Rights Reserved.
Related Shares:
Prudential