Prudential plc Announces Share Repurchases and Changes in Issued Share Capital

Prudential plc has published its latest Next Day Disclosure Return, providing investors with an update on significant changes in its issued share capital and details of recent share repurchase activities. This report is of particular importance to shareholders and market participants, as these actions may have an impact on the company’s share value and signal management’s views on capital allocation and shareholder returns.

Key Points from the Disclosure Return

• Reduction in Issued Share Capital: On 12 January 2026, Prudential plc cancelled 331,277 ordinary shares of GBP 0.05 each, which had been repurchased on 8 January 2026. This reduced the total issued shares from 2,547,570,060 to 2,547,238,783.
• Repurchase Prices: The average repurchase price for these cancelled shares was GBP 11.6085 per share, representing a total spend of approximately GBP 3.78 million for the shares repurchased on 12 January 2026 alone.
• Outstanding Repurchased Shares Pending Cancellation:
  • On 9 January 2026, 330,946 shares were repurchased at an average price of GBP 11.5684 per share, but not yet cancelled.
  • On 12 January 2026, an additional 325,688 shares were repurchased at an average price of GBP 11.6025 per share, also pending cancellation.
• Repurchase Mandate and Limits:
  • The company is authorised to repurchase up to 262,668,701 shares under the current mandate, granted on 14 May 2025.
  • To date, Prudential plc has repurchased a total of 59,857,890 shares under this mandate, amounting to 2.298179% of the issued share capital as at the date of the resolution.
• Moratorium on New Share Issues: Following these repurchases, the company is subject to a moratorium period, during which it cannot issue new shares, or sell or transfer any treasury shares, until 11 February 2026.
• Repurchase Method: The latest repurchase of 325,688 shares on 12 January 2026 was executed on the London Stock Exchange, not on the Hong Kong Exchange. The highest price paid was GBP 11.66 and the lowest was GBP 11.455 per share.

Important Considerations for Shareholders

• Share Buybacks Signal Management Confidence: The ongoing share repurchase program reflects the company’s confidence in the value of its shares and its commitment to enhancing shareholder returns. Share buybacks can be price sensitive, as they reduce the total shares outstanding, potentially improving earnings per share and increasing shareholder value.
• Impact on Liquidity and Trading: Investors should note the moratorium period on new share issues or treasury share transactions, which could affect liquidity and limit share supply until 11 February 2026.
• Volume and Pricing: The significant volume and price levels of the repurchases may offer insights into the company’s view of its intrinsic value and could influence investor perception and market price.

Additional Details

• No Treasury Shares Held: As of the latest disclosure, Prudential plc does not hold any treasury shares.
• No On-Market Sale of Treasury Shares: There were no sales of treasury shares reported in this period.

Summary

Prudential plc’s recent share repurchases and cancellation activities are noteworthy events for investors. These moves may influence the company’s share price by reducing the total number of shares outstanding, signalling management’s confidence, and impacting future capital management flexibility. The moratorium on new share issues and treasury share transactions is a regulatory safeguard that shareholders should monitor closely.

Disclaimer: This article is based on publicly disclosed regulatory filings and is intended for informational purposes only. It is not investment advice. Investors should conduct their own due diligence and consult with professional advisers before making any investment decisions.

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