trending Market Intelligence /marketintelligence/en/news-insights/trending/juqdrquwswgatcrchtqr2q2 content esgSubNav
In This List

Phoenix launches £950M rights issue to partly fund Standard Life Aberdeen deal

Blog

The Big Picture 2022 Insurance Industry Outlook

Podcast

Next in Tech | Episode 37: Insurance impacts on technology and vice versa

Case Study

A Prestigious Global Business School Gains a Competitive Edge

Video

S&P Capital IQ Pro | Unrivaled Sector Coverage


Phoenix launches £950M rights issue to partly fund Standard Life Aberdeen deal

Phoenix Group Holdings launched a rights issue to raise approximately £950 million to finance a portion of the cash consideration for its acquisition of the insurance business of Standard Life Aberdeen PLC.

The firm will offer 183,522,385 new shares, corresponding to about 46.7% of Phoenix's existing issued share capital, at 518 pence apiece. Qualified shareholders are entitled to subscribe to 7 new shares for every 15 existing shares presently held in the company. The issue price represents a discount of 25.1% to the theoretical ex-rights price of 691 pence per share calculated based on the May 29 closing price.

The offer will expire July 9, with results expected to be announced the following day.

HSBC Bank PLC, Merrill Lynch International, J.P. Morgan Securities PLC and BNP Paribas serve as underwriters for the rights issue.

In February, Phoenix agreed to pay roughly £3.24 billion for Standard Life Aberdeen's insurance business. Standard Life Aberdeen will take a 19.99% stake in the entity resulting from the acquisition, which is expected to close in the third quarter, subject to regulatory approvals.