Aviva PLC (LSE:AV.) said its share consolidation and the admission of new ordinary shares will take place today, no later than 8am, in conjunction with its intention to return £3.75bn to shareholders.
The return, to ordinary shareholders and holders of American depositary shares representing ordinary shares (ADSs), is in the form of a payment of 101.69p per ordinary share.
This is in addition to the £1bn share buy-back which was completed on 31 March 2022.
As part of this process the company announced last month that it would issue 3.687bn B shares - one for every existing ordinary share. - before it then intends for the B shares to be redeemed tomorrow for 101.69p apiece.
As a result, it is expected that shareholders and holders of ADSs entitled to receive payments in respect of the proceeds of the redemption of the B shares will receive payment by 31 May 2022 in respect of the existing ordinary shares, and by 6 June 2022 in respect of the ADSs.
Aviva sais that unless a holding of existing ordinary shares is exactly divisible by 100, a shareholder will have a fractional entitlement to a new ordinary share following the share consolidation. Any fractional entitlements arising from the consolidation will be aggregated into new ordinary shares and sold in the market on behalf of such shareholders.
The net proceeds of the sale, after deduction of all expenses and commissions incurred, will be distributed pro rata to relevant shareholders, the FTSE 100 company said.
Post completion, the company's total issued share capital will consist of 2,802,364,720 ordinary shares.