Prudential plc Announces Share Repurchases and Cancellation – Key Investor Update

Date: 27 January 2026

Issuer: Prudential plc (Stock Code: 02378, Ordinary shares of GBP 0.05 each)

Key Points from the Disclosure Return

• Significant Share Buybacks: Prudential plc has repurchased and cancelled a substantial number of shares as part of its ongoing capital management strategy. This action has direct implications for the company’s share count and potentially for shareholder value.
• Recent Share Repurchases:
  • On 22 January 2026, Prudential repurchased 322,055 ordinary shares, which were cancelled on 26 January 2026 at a volume-weighted average price of GBP 11.7877 per share.
  • As of 26 January 2026, the total number of issued shares (excluding treasury shares) stood at 2,543,987,857.
• Shares Pending Cancellation:
  • As of the closing balance date, there are shares that have been repurchased but not yet cancelled:
    • 371,011 shares repurchased on 23 January 2026 at GBP 11.5882 per share.
    • 301,246 shares repurchased on 26 January 2026 at GBP 11.6133 per share.
• Repurchase Details:
  • On 26 January 2026, Prudential repurchased 301,246 shares on the London Stock Exchange at prices ranging from GBP 11.555 to GBP 11.66 per share, with an aggregate price paid of GBP 3,498,451.73.
  • All shares repurchased are intended for cancellation, not for holding as treasury shares.
• Mandate and Limits:
  • The share repurchase mandate was approved on 14 May 2025, allowing the company to repurchase up to 262,668,701 shares.
  • To date, 63,124,536 shares have been repurchased under this mandate, representing approximately 2.42% of the issued share capital as of the mandate date.
• Moratorium Period: Following these repurchases, Prudential is subject to a moratorium period until 25 February 2026 during which it cannot issue new shares or sell/transfer treasury shares without prior Exchange approval.

Implications for Shareholders and Price Sensitivity

• Reduction in Share Capital: The ongoing share buybacks and cancellations reduce the total number of shares in issue. This can enhance earnings per share (EPS) and potentially support the share price, as each remaining share represents a larger proportion of ownership in the company.
• Price Impact: The repurchase prices, all above GBP 11.55 per share, may signal management’s confidence in the intrinsic value of the shares and could act as a floor for the share price in the near term.
• Capital Management Strategy: The buybacks highlight Prudential’s commitment to returning value to shareholders and optimizing its capital structure. Investors may interpret this as a positive signal regarding the company’s current liquidity and future prospects.
• Potential Trading Restrictions: The 30-day moratorium on new share issuance or treasury share sales may limit supply in the market, which could affect trading dynamics and support the share price if demand remains steady.

Additional Details for Investors

• No Treasury Shares Held: Prudential is not holding any repurchased shares as treasury shares; all are being cancelled, maximizing the impact on share count and potential EPS improvement.
• Compliance: All repurchases on the London Stock Exchange have been conducted in accordance with domestic rules, ensuring regulatory compliance.

Conclusion

Prudential plc’s continued execution of its share repurchase and cancellation program is a noteworthy event for investors. The reduction in the number of shares outstanding, combined with management’s demonstrated confidence through above-market repurchase prices and a substantial remaining buyback mandate, are key factors that could influence the company’s share price and shareholder value in the coming weeks.

Disclaimer: This article is for informational purposes only and does not constitute investment advice. Investors should conduct their own research or consult with a financial advisor before making investment decisions. The author and publisher accept no liability for any losses incurred as a result of reliance on this information.

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