Prudential plc has announced the commencement of the third and final tranche of its $2bn share buyback programme for $500m. The announcement follows the successful completion of the first and second tranches in 2024 and June 2025.
The purpose of the buyback programme is to reduce the issued Prudential’s share capital, in order to return capital to shareholders, which company directors consider to be in company and shareholder best interest.
The programme is in addition to other share buybacks that may be undertaken in the future in order to offset the actual or expected dilution from the vesting of awards under employee and agent share schemes, and the issuance of ordinary shares under the scrip dividend alternative announced in March 2025 in respect of the 2024 second interim dividend and any scrip dividend alternative for future dividends (if offered).
Detailed terms
Prudential entered into an arrangement with Merrill Lynch International, acting as riskless principal, to conduct the buyback in respect of the third tranche on its behalf and to make trading decisions independently of the Company.
The arrangement enables the purchase of ordinary shares in the issued share capital for a period from 1 July 2025, and will complete no later than 24 December 2025. However, there is also no guarantee that the third tranche will be implemented in full or that any ordinary shares will be purchased by the company.
Prudential also intends to provide a further update on its capital management plan in August 2025 when it publishes its half year results for.