Proactiveinvestors United Kingdom Phoenix Group Holdings PLC https://www.proactiveinvestors.co.uk Proactiveinvestors United Kingdom Phoenix Group Holdings PLC RSS feed en Tue, 18 Jun 2019 10:28:32 +0100 http://blogs.law.harvard.edu/tech/rss Genera CMS action@proactiveinvestors.com (Proactiveinvestors) action@proactiveinvestors.com (Proactiveinvestors) <![CDATA[RNS press release - PGH PLC Issuer of Senior Debt Securities Update ]]> https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20190618094501_14114917/ Tue, 18 Jun 2019 09:45:01 +0100 https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20190618094501_14114917/ <![CDATA[RNS press release - Director/PDMR Shareholding ]]> https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20190613130002_14110071/ Thu, 13 Jun 2019 13:00:02 +0100 https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20190613130002_14110071/ <![CDATA[RNS press release - Director/PDMR Shareholding ]]> https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20190610101501_14104708/ Mon, 10 Jun 2019 10:15:01 +0100 https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20190610101501_14104708/ <![CDATA[RNS press release - Director/PDMR Shareholding ]]> https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20190606160002_14102010/ Thu, 06 Jun 2019 16:00:02 +0100 https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20190606160002_14102010/ <![CDATA[RNS press release - Director/PDMR Shareholding ]]> https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20190528140001_14089472/ Tue, 28 May 2019 14:00:01 +0100 https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20190528140001_14089472/ <![CDATA[RNS press release - Holding(s) in Company ]]> https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20190516153002_14077305/ Thu, 16 May 2019 15:30:02 +0100 https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20190516153002_14077305/ <![CDATA[RNS press release - Director/PDMR Shareholding ]]> https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20190508154501_14067015/ Wed, 08 May 2019 15:45:01 +0100 https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20190508154501_14067015/ <![CDATA[RNS press release - Result of AGM ]]> https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20190502121501_14061122/ Thu, 02 May 2019 12:15:01 +0100 https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20190502121501_14061122/ <![CDATA[RNS press release - Director/PDMR Shareholding ]]> https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20190501140002_14059676/ Wed, 01 May 2019 14:00:02 +0100 https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20190501140002_14059676/ <![CDATA[RNS press release - Director/PDMR Shareholding ]]> https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20190417150002_14045139/ Wed, 17 Apr 2019 15:00:02 +0100 https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20190417150002_14045139/ <![CDATA[RNS press release - Director/PDMR Shareholding ]]> https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20190410080005_14035634/ Wed, 10 Apr 2019 08:00:05 +0100 https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20190410080005_14035634/ <![CDATA[RNS press release - Director/PDMR Shareholding ]]> https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20190409100001_14034165/ Tue, 09 Apr 2019 10:00:01 +0100 https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20190409100001_14034165/ <![CDATA[RNS press release - Holding(s) in Company ]]> https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20190408143003_14032947/ Mon, 08 Apr 2019 14:30:03 +0100 https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20190408143003_14032947/ <![CDATA[RNS press release - Holding(s) in Company ]]> https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20190403140001_14027644/ Wed, 03 Apr 2019 14:00:01 +0100 https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20190403140001_14027644/ <![CDATA[RNS press release - Director/PDMR Shareholding ]]> https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20190402153004_14026021/ Tue, 02 Apr 2019 15:30:04 +0100 https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20190402153004_14026021/ <![CDATA[RNS press release - Director/PDMR Shareholding ]]> https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20190329161517_14022068/ Fri, 29 Mar 2019 16:15:17 +0000 https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20190329161517_14022068/ <![CDATA[RNS press release - Total Voting Rights ]]> https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20190329140005_14021836/ Fri, 29 Mar 2019 14:00:05 +0000 https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20190329140005_14021836/ <![CDATA[RNS press release - Director/PDMR Shareholding ]]> https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20190326160002_14016610/ Tue, 26 Mar 2019 16:00:02 +0000 https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20190326160002_14016610/ <![CDATA[RNS press release - Holding(s) in Company ]]> https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20190326160001_14016611/ Tue, 26 Mar 2019 16:00:01 +0000 https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20190326160001_14016611/ <![CDATA[RNS press release - Notice of AGM ]]> https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20190322172001_14013191/ Fri, 22 Mar 2019 17:20:01 +0000 https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20190322172001_14013191/ <![CDATA[RNS press release - Holding(s) in Company ]]> https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20190322163001_14013067/ Fri, 22 Mar 2019 16:30:01 +0000 https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20190322163001_14013067/ <![CDATA[RNS press release - Director/PDMR Shareholding ]]> https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20190314150003_14002875/ Thu, 14 Mar 2019 15:00:03 +0000 https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20190314150003_14002875/ <![CDATA[RNS press release - Director/PDMR Shareholding ]]> https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20190306170004_13992921/ Wed, 06 Mar 2019 17:00:04 +0000 https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20190306170004_13992921/ <![CDATA[News - Phoenix hikes final dividend as it beats cash generation target after Standard Life Assurance deal ]]> https://www.proactiveinvestors.co.uk/companies/news/215792/phoenix-hikes-final-dividend-as-it-beats-cash-generation-target-after-standard-life-assurance-deal-215792.html Phoenix Group Holdings PLC (LON:PHNX) lifted its final dividend by 3.5% after delivering a sharp rise in 2018 operating profit and beating its cash generation target. 

The pensions and life consolidator said operating profit increased to £708mln last year from £368mln, boosted by the acquisition of Standard Life Assurance.

Phoenix became Europe’s largest consolidator of heritage life funds after completing the £3bn purchase of Standard Life Assurance last August.

READ: Phoenix has most defensive dividend yield among life insurers as Brexit looms, says Barclays

“The transition of the Standard Life Assurance businesses continues to progress well and today we increase the total cost and capital synergy target by 70% from £720mln to £1.2bn,” chief executive Clive Bannister said.

“Our end state operating model will incorporate the best of both legacy businesses and our management bench strength and strategic options as a combined Group have increased significantly.”

Last year the group delivered cash generation of £664mln, taking the total cash generation for 2017 and 2018 to £1.3bn, exceeding the target of £bn to £1.2bn.

AUA hit by market volatility amid Brexit uncertainty

However, the company ended the year with assets under administration of ££226bn, down from £240bn in 2017, due to market volatility in the fourth quarter of 2019 when investors were more cautious amid Brexit uncertainty.

The group said net outflows in the UK Heritage business offset net inflows in the UK Open and European businesses.

“There remains great uncertainty about the timing and terms of the UK's withdrawal from the EU,” said Bannister.

“The group continues to closely monitor developments to understand any potential financial or operational implications.

 “The group identified contingency actions to ensure it could service EU-based customers in the event of a 'Hard Brexit' and has continued to progress these.”

Phoenix proposed a final dividend of 23.4p per share.

For 2019, Phoenix is targeting cash generation of £600mln to £700mln, net of an expected £250mln charge on Brexit preparations.

In morning trading, shares rose 2.6% to 725.4p. 

]]>
Tue, 05 Mar 2019 08:23:00 +0000 https://www.proactiveinvestors.co.uk/companies/news/215792/phoenix-hikes-final-dividend-as-it-beats-cash-generation-target-after-standard-life-assurance-deal-215792.html
<![CDATA[RNS press release - 2018 Full Year Results ]]> https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20190305070022_13989855/ Tue, 05 Mar 2019 07:00:22 +0000 https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20190305070022_13989855/ <![CDATA[RNS press release - Total Voting Rights ]]> https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20190228140002_13985749/ Thu, 28 Feb 2019 14:00:02 +0000 https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20190228140002_13985749/ <![CDATA[RNS press release - Director/PDMR Shareholding ]]> https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20190208080001_13963049/ Fri, 08 Feb 2019 08:00:01 +0000 https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20190208080001_13963049/ <![CDATA[News - Phoenix has most defensive dividend yield among life insurers as Brexit looms, says Barclays ]]> https://www.proactiveinvestors.co.uk/companies/news/212964/phoenix-has-most-defensive-dividend-yield-among-life-insurers-as-brexit-looms-says-barclays-212964.html Phoenix Group Holdings (LON:PHNX) is the most defensive life insurance stock and offers one of the safest dividend yields amid concerns a hard Brexit will lead to a recession, Barclays said.

Barclays said UK life insurers are pricing in a 30% chance of a financial crash if Prime Minister Theresa May is unable to negotiate a new Brexit deal that MPs can agree on before Britain leaves the European Union on March 29.

Barclays upgrades Phoenix 

The bank believes insurers’ capital is most at risk during a recession and Phoenix has the “most defensive balance sheet” of its peers due to an increased level of hedging.

“We upgrade Phoenix to equal weight (from underweight), as our analysis suggests this is the most defensive life insurance stock, with the lowest volatility of solvency capital, an attractive defensive dividend yield (FY yield of 7.6%), but the stock has declined in line with UK peers over the past 12 months (down 12% vs STOXX Europe 600 insurance index down 10%),” Barclays said,

“UK life insurance stocks are among the cheapest in the sector despite enjoying some of the highest earnings revisions and, in our view, having attractive business models, as investors are concerned about the asymmetric risk from the UK’s exit from the EU.”

Life insurance stocks are trading 20% below their long-term price-to-book/price-to-earnings multiples with dividend yields of 6.4%, the bank said.

Life insurance markets 'attractive'

Barclays thinks UK life insurance markets are attractive with auto enrolment driving genuine net flows into pensions and the bulk annuity market providing a possible £180bn opportunity over the next six years.

“While work place pensions are low-risk / fee business, they are also low-margin business, and it is the bulk annuity opportunity that will drive the bulk of earnings growth,” it said.

“While we believe insurers earn an attractive double-digit return on capital for taking the credit and longevity risk, the business does require capital and the annuity players are levered credit plays.”

Phoenix acquisition of Standard Life insurance arm protects dividend for 18 years, says Barclays

On Phoenix, Barclays said it is not changing its estimates or target price of 680p. But the target price offers at 10% upside and the stock provides an estimated 2019 dividend yield of 7.6%.

“While Phoenix’s dividend may not grow in the absence of further deals (which we do not model in our estimates), it does have the most defensive yield among its peers in times of market stress, and the recent acquisition of Standard Life Insurance protects the dividend for 18 years,” it said.

Phoenix completed the acquisition of Standard Life Aberdeen’s insurance arm for £3bn last August. Standard Life Aberdeen sold the business following the merger between insurer Standard Life and asset manager Aberdeen in 2017.

READ: Phoenix Group's Standard Life transaction a win-win deal

As part of the deal, Standard Life Aberdeen was given a stake of just under 20% in Phoenix.

In morning trading, shares in Phoenix edged up 0.4% to 637.5p. 

]]>
Mon, 21 Jan 2019 10:07:00 +0000 https://www.proactiveinvestors.co.uk/companies/news/212964/phoenix-has-most-defensive-dividend-yield-among-life-insurers-as-brexit-looms-says-barclays-212964.html
<![CDATA[RNS press release - Holding(s) in Company ]]> https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20190118165501_13940191/ Fri, 18 Jan 2019 16:55:01 +0000 https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20190118165501_13940191/ <![CDATA[RNS press release - Holding(s) in Company ]]> https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20190111100001_13931954/ Fri, 11 Jan 2019 10:00:01 +0000 https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20190111100001_13931954/ <![CDATA[RNS press release - Director/PDMR Shareholding ]]> https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20190108170226_13927981/ Tue, 08 Jan 2019 17:02:26 +0000 https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20190108170226_13927981/ <![CDATA[RNS press release - Director/PDMR Shareholding ]]> https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20190108111001_13927573/ Tue, 08 Jan 2019 11:10:01 +0000 https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20190108111001_13927573/ <![CDATA[RNS press release - Holding(s) in Company ]]> https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20190107093001_13925690/ Mon, 07 Jan 2019 09:30:01 +0000 https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20190107093001_13925690/ <![CDATA[RNS press release - Director/PDMR Shareholding ]]> https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20190103161504_13923324/ Thu, 03 Jan 2019 16:15:04 +0000 https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20190103161504_13923324/ <![CDATA[RNS press release - Total Voting Rights ]]> https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20181231130001_13919736/ Mon, 31 Dec 2018 13:00:01 +0000 https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20181231130001_13919736/ <![CDATA[RNS press release - Holding(s) in Company ]]> https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20181220144525_13911900/ Thu, 20 Dec 2018 14:45:25 +0000 https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20181220144525_13911900/ <![CDATA[RNS press release - Reduction of Capital ]]> https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20181218174502_13908637/ Tue, 18 Dec 2018 17:45:02 +0000 https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20181218174502_13908637/ <![CDATA[RNS press release - Block Listing Application ]]> https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20181218080002_13907512/ Tue, 18 Dec 2018 08:00:02 +0000 https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20181218080002_13907512/ <![CDATA[RNS press release - Director Declaration ]]> https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20181214145003_13904838/ Fri, 14 Dec 2018 14:50:03 +0000 https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20181214145003_13904838/ <![CDATA[RNS press release - Listing of PGH plc Shares and Debt Issuer Update ]]> https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20181213080001_13902311/ Thu, 13 Dec 2018 08:00:01 +0000 https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20181213080001_13902311/ <![CDATA[RNS press release - Scheme Effective Date and PGH Shares Cancellation ]]> https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20181213070003_13901846/ Thu, 13 Dec 2018 07:00:03 +0000 https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20181213070003_13901846/ <![CDATA[RNS press release - Listing Application details for New Phoenix Shares ]]> https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20181212140001_13901367/ Wed, 12 Dec 2018 14:00:01 +0000 https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20181212140001_13901367/ <![CDATA[RNS press release - Holding(s) in Company ]]> https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20181212093001_13900887/ Wed, 12 Dec 2018 09:30:01 +0000 https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20181212093001_13900887/ <![CDATA[RNS press release - Director/PDMR Shareholding ]]> https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20181211095002_13899134/ Tue, 11 Dec 2018 09:50:02 +0000 https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20181211095002_13899134/ <![CDATA[RNS press release - Holding(s) in Company ]]> https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20181210101502_13897410/ Mon, 10 Dec 2018 10:15:02 +0000 https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20181210101502_13897410/ <![CDATA[RNS press release - Director/PDMR Shareholding ]]> https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20181207160003_13896446/ Fri, 07 Dec 2018 16:00:03 +0000 https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20181207160003_13896446/ <![CDATA[RNS press release - Director/PDMR Shareholding ]]> https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20181207073004_13895484/ Fri, 07 Dec 2018 07:30:04 +0000 https://www.proactiveinvestors.co.uk/companies/rns/16476/LSE20181207073004_13895484/ <![CDATA[News - Phoenix Group beats cash generation target for 2017 and 2018 as more companies shift pension risks ]]> https://www.proactiveinvestors.co.uk/companies/news/210210/phoenix-group-beats-cash-generation-target-for-2017-and-2018-as-more-companies-shift-pension-risks-210210.html Phoenix Group Holdings PLC (LON:PHNX) saw its shares rise on Thursday after the closed life assurance funds consolidator beat its cash generation target for 2017 and 2018 as more companies shift their pension risks.

In a trading update, the FTSE 250-listed firm said its cash generation hit £1.3bn in the 2017 and 2018 period, higher than the £1bn to £1.2bn targeted range, with £644mln of cash generated in 2018 and £653mln in 2017.

READ: Phoenix Group's Standard Life transaction a win-win deal

The company added that its assets under administration were stable at £240bn as at 30 September, reflecting net business inflows of £3.3bn at the end of the third quarter.

The group, which bought the bulk of Standard Life Aberdeen PLC's (LON:SLA) insurance business earlier this year said it closed two more bulk annuity deals in the second half of this year, after completing a £470mln deal with the Trustees of the Marks and Spencer Pension Scheme in May.

Phoenix said it has already delivered £400mln of capital synergies on the acquisition of the Standard Life Assurance business against a total £440mln capital synergy target announced for the transaction.

Clive Bannister, Phoenix’s Group CEO, commented:  "We continue to deliver against our strategy with a further two bulk purchase annuity transactions completed in the second half of the year.

“Operationally, Diligenta will become our preferred outsource partner and enable us to deliver a single, digitally enhanced outsourcer platform to circa 5.5 million of our customers.”

In mid-morning trading, Phoenix shares were 1.3% higher at 608.50p.

]]>
Thu, 29 Nov 2018 10:25:00 +0000 https://www.proactiveinvestors.co.uk/companies/news/210210/phoenix-group-beats-cash-generation-target-for-2017-and-2018-as-more-companies-shift-pension-risks-210210.html
<![CDATA[News - Phoenix Group's Standard Life transaction a win-win deal ]]> https://www.proactiveinvestors.co.uk/companies/news/199695/phoenix-group-s-standard-life-transaction-a-win-win-deal-199695.html HSBC has resumed coverage of Phoenix Group Holdings PLC (LON:PHNX) with a ‘hold’ recommendation after the firm’s acquisition of bits of Standard Life Assurance (SLA).

The proposed acquisition from Standard Life Aberdeen PLC (LON:SLA) of SLA’s UK and European life assurance business will increase Phoenix’s scale and will provide increased cash to fund dividends and provide flexibility around funding for future mergers & acquisitions.

READ: Phoenix Group launches rights issue to fund part of Standard Life Assurance acquisition​

The deal will provide Phoenix’s management with greater scope to exert operating leverage due to its variable cost structure and potentially provides access to the European closed life market.

Despite its upbeat view of the deal, HSBC has cut its target price for Phoenix to 750p from 830p, reflecting higher free cash flow estimates offset by an increase in shares in issue.

As for Standard Life, that gets a ‘buy’ recommendation from HSBC, with a new price target of 380p.

“However, we are cautious around Adjusted EPS [earnings per share], and see 4% dilution in 2020e from the transaction as we expect outflows to continue and assume lower investment returns (1% pa over 2019-20e),” HSBC said.

“Also, clarity is needed on certain issues to measure value creation: (i) regulatory capital requirement (under CRD IV) allowing us to analyse capital flexibility; and (ii) strategy for China and India life insurance JVs, which have limited synergies with rest of the group,” it added.

Shares in Phoenix were down 1% at 672.5p while those in Standard Life were down 1.7% at 328.1p.

]]>
Wed, 27 Jun 2018 14:05:00 +0100 https://www.proactiveinvestors.co.uk/companies/news/199695/phoenix-group-s-standard-life-transaction-a-win-win-deal-199695.html
<![CDATA[News - Phoenix Group launches around £950mln rights issue to fund part of cash consideration for Standard Life Assurance acquisition ]]> https://www.proactiveinvestors.co.uk/companies/news/197913/phoenix-group-launches-around-950mln-rights-issue-to-fund-part-of-cash-consideration-for-standard-life-assurance-acquisition-197913.html Phoenix Group Holdings PLC (LON:PHNX) has launched a fully underwritten rights issue to raise gross proceeds of approximately £950mln to be used to fund part of the cash consideration for its proposed acquisition of Standard Life Assurance Limited.

The FTSE 250-listed insurer said, under the rights issue, shareholders can apply for 7 new shares for every 15 existing ones held at a price of 518p each.

READ: Standard Life Aberdeen plans to return £1.75bn to shareholders

In mid-morning trading, Phoenix shares were trading at 782p each, up 1.3% on last night’s closing price.

The rights price represents a 25.1% discount to the theoretical ex-rights price of 691p per share calculated by reference to the closing price on 29 May 2018.

The rights issue will result in the issue of 183,522,385 new shares, representing approximately 46.7% of Phoenix’s existing issued share capital and approximately 31.8% of the enlarged issued share capital.

Phoenix announced the acquisition of Standard Life Assurance from FTSE 100-listed asset manager Standard Life Aberdeen PLC (LON:SLA), on 23 February 2018, for a total consideration of £1.971bn plus the issue of shares equivalent to an approximately 19.99% stake in the enlarged group.

The group said the rights issue is fully underwritten by HSBC Bank PLC, Merrill Lynch International, JP Morgan Securities.

]]>
Wed, 30 May 2018 10:20:00 +0100 https://www.proactiveinvestors.co.uk/companies/news/197913/phoenix-group-launches-around-950mln-rights-issue-to-fund-part-of-cash-consideration-for-standard-life-assurance-acquisition-197913.html