Prudential plans to generate £10bn cash in four years
Speculation rises that UK’s largest insurer may increase its dividend
Prudential shares rose as much as 2.2% after chief executive Tidjane Thiam announced new cash and growth targets in London
Prudential said yesterday it plans to generate £10 billion in cash in the four years through 2017, raising speculation the UK’s largest insurer by market value may increase its dividend.
The shares rose as much as 2.2 per cent after chief executive Tidjane Thiam announced new cash and growth targets in London.
The insurer is also targeting £1.1 billion of underlying free surplus generation in Asia, and annual pretax operating profit growth at the region’s life and asset management business of 15 per cent through 2017.
“We interpret this to mean significant returns of surplus capital for shareholders,” said Barrie Cornes, a London-based analyst at Panmure Gordon.
Prudential shares have gained 49 per cent this year, compared with a 25 per cent increase for the FTSE 350 Insurance Index. – (Bloomberg)