(Reuters) – Insurance group Prudential plans a $2 billion share buyback program to be completed no later than mid-2026, the company said in a statement on Sunday.
The life and health insurer will begin the first $700 million tranche of the buyback, for which it has reached an agreement with Goldman Sachs International, it said in a separate statement.
The buyback marks progress toward the London- and Hong Kong-listed company's 2027 financial goals and will increase the potential for higher cash returns for shareholders, the company said.
In a statement, CEO Anil Wadhwani said Pru's board continues to expect its annual dividend for 2024 to increase by 7% to 9% compared to the previous year, adding: “We are confident in our growth of new businesses by fiscal year 2024 and in achieving our objectives. Financial and strategic objectives for 2027.”
In March, Pru reported an 8% rise in its annual operating profit, as policy sales in its key markets in Asia and Africa drove revenue growth.
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