Prudential plc Announces Share Buyback Activity and Updates on Issued Shares

Key Points from the Latest Disclosure Return

• Issuer: Prudential plc (Stock Code: 02378, Ordinary shares of GBP 0.05 each)
• Date of Disclosure: 21 January 2026
• Significant Change: Share buybacks and cancellations, with direct impact on the number of issued shares

Summary of Share Repurchases and Issued Share Changes

Prudential plc has reported a notable update regarding its issued share capital, driven by recent share repurchase activities:

• Share Repurchase and Cancellation:
  • On 16 January 2026, Prudential repurchased 331,793 ordinary shares, which were subsequently cancelled on 20 January 2026 at an average price of GBP 11.8102 per share.
  • This action reduced the total number of issued shares (excluding treasury shares) from 2,545,637,517 to 2,545,305,724.
  • The reduction represents a 0.013034% decrease in the company’s issued shares.
• Further Repurchases Pending Cancellation:
  • In addition, on 19 January 2026, 307,715 shares were repurchased for cancellation at an average price of GBP 11.8677 per share.
  • On 20 January 2026, 348,347 shares were repurchased for cancellation at an average price of GBP 11.7105 per share.
  • These shares had not yet been cancelled as of the latest reporting date, meaning their cancellation will further reduce the share count in the near future.

Details of the 20 January 2026 Repurchase

• Repurchase Venue: London Stock Exchange (not on the Hong Kong Exchange)
• Number of Shares Repurchased: 348,347 ordinary shares
• Price Range: Highest price per share: GBP 11.835, Lowest price per share: GBP 11.65
• Total Amount Paid: GBP 4,079,318.35
• Purpose: All shares repurchased are intended for cancellation, reducing the total number of shares outstanding.

Share Repurchase Mandate and Remaining Capacity

• Date of Share Repurchase Mandate Approval: 14 May 2025
• Total Shares Authorized for Repurchase: 262,668,701 shares
• Total Shares Repurchased Under Mandate (to date): 61,790,474 shares
• Percentage of Shares Repurchased Relative to Mandate Base: 2.372378%

Moratorium Period for Issuing New Shares

Importantly, Prudential plc is subject to a 30-day moratorium period following the share repurchase, during which it cannot issue new shares, or sell or transfer treasury shares, without prior approval from the Exchange. This period extends up to 19 February 2026.

Key Considerations for Shareholders and Investors

• Potential Impact on Share Value: The ongoing and recent share buybacks and cancellations result in a reduced number of shares outstanding, which can enhance earnings per share (EPS) and potentially support the share price, assuming constant earnings.
• Price Sensitivity: The buybacks have been conducted at prices ranging from GBP 11.65 to GBP 11.8677. This provides a reference point for current market valuation and management’s view on the company’s intrinsic value.
• Future Share Reduction: Further reductions in share count are expected when pending repurchased shares are cancelled, which may provide additional support to the share price.
• Restriction on New Issuance: The 30-day moratorium on new share issuance may affect liquidity and the company’s capital raising flexibility in the short term.

Additional Notes

• No shares were repurchased to be held as treasury shares; all are for cancellation.
• No sales of treasury shares have been reported in this disclosure period.

Conclusion

Prudential plc’s active share buyback program and the cancellation of repurchased shares demonstrate a commitment to returning value to shareholders and optimizing the capital structure. Investors should monitor further disclosures for the final cancellation of pending shares, as well as any subsequent changes to the buyback mandate or capital raising plans.

Disclaimer: This article is for informational purposes only and does not constitute investment advice. Investors should conduct their own due diligence and consult a professional advisor before making any investment decisions. Share prices can be volatile and are subject to market risks.

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