Pru's £14.5bn cash call at 80% discount; Group commits to UK

Prudential has revealed the terms of its £14.5bn cash call, with the issue price set at more than an 80% discount to the insurer's closing level on Friday.

The cash call will comprise of 11 new shares for every two existing shares at an issue price of 104p per share for UK shareholders. Pru's issue price represents a 39.3% discount to the theoretical ex-rights price based on the closing price of 542.5p on 14 May and a 80.8% discount to this close. While Prudential was widely rumoured to be looking to offload its UK and US arms, the group says it intends to organise its business into four broad divisions: Asia, UK, US and asset management (including M&G). The group originally planned to unveil its rights issue two weeks ago, but was fo...