(Reuters) – Insurance group Prudential said in a statement on Sunday that it is planning a $2 billion share buyback program that will be completed no later than mid-2026.
The life and health insurance company said in a separate statement that it will initiate the first $700 million tranche of the buyback, for which it has an arrangement with Goldman Sachs International.
The buyback represents progress towards the London- and Hong Kong-listed company’s 2027 financial targets and will increase the potential for further cash returns for shareholders, the company said.
In a statement, CEO Anil Wadhwani said Pru’s board still expects its 2024 annual earnings to increase between 7% and 9% compared to the previous year, adding: “We have confidence in the growth of our new business for fiscal 2024 and in achieving our goals.” Financial and strategic goals for 2027.”
In March, Pru reported an 8% increase in annual operating profit, as policy sales in its key markets of Asia and Africa helped drive revenue growth.