A bold uptick in Prudential PLC stock follows news that its Indian joint venture, ICICI Prudential Asset Management, has filed its initial public offering prospectus with Indian regulators. The move comes as IPO activity surges across India, buoyed by robust investor demand.
In London, Prudential shares advanced by 28 pence, or about 2.6%, pushing the price to 11.06 pounds and helping the stock lead gains within the FTSE 100. For the year to date, the shares have risen roughly 74%. The ICICI Prudential IPO prospectus, a Red Herring dated December 6, has been submitted to the Securities and Exchange Board of India, as well as India’s BSE Limited and National Stock Exchange.
Under the IPO plan, Prudential Corporation Holdings, a subsidiary of Prudential, would sell 9.9% of ICICI Prudential. The joint venture combines ICICI Bank on the Indian side with Prudential on the UK side, currently holding 51% and 49% respectively. Prudential noted that key details about the offering—such as the exact amount on sale and the timing—will depend on market conditions and other factors.
Additionally, Prudential said it is weighing a private sale of 2% of ICICI Prudential to ICICI Bank. The insurer is also considering offering shares to selected institutional investors ahead of the IPO. Earlier in the year, Prudential had indicated it was examining a listing of the Indian joint venture along with a partial divestment, with the potential net proceeds slated to be returned to shareholders.
The Indian IPO market has been exceptionally active, driven by domestic investor enthusiasm and a wave of fundraising. Bloomberg reported that companies have collectively raised about $19.6 billion so far this year.
For further details, email Joe Stonor at josephmichael.stonor@wsj.com.
