Billionaire Richard Li’s FWD Group revives Hong Kong IPO plan, sources say

HONG KONG/SYDNEY : Billionaire Richard Li has revived plans to list pan-Asian insurer FWD Neighborhood in Hong Kong, acknowledged three other folks with dispute data of the matter, after regulatory lengthen and market volatility scuppered old attempts to raise it public.

Hong Kong-headquartered FWD could aim a valuation of as a lot as $9 billion within the initial public offering (IPO) reckoning on financial market prerequisites when launching the deal, one of many other folks acknowledged.

The deal timeline and offering dimension are but to be determined, the opposite folks acknowledged, declining to be known as they weren’t authorised to focus on with media.

“While we pause not at the moment dangle an active itemizing application and no choices dangle been made to refile at this stage, pointless to claim we proceed to preserve a end search on capital market traits and prerequisites,” a FWD spokesperson acknowledged.

Li founded FWD in 2013 and controls it by strategy of funding arm Pacific Century Neighborhood, which has pursuits within the technology, media, telecoms and property as effectively as financial sectors.

FWD targeted a valuation of not lower than $10 billion when it last attempted to list in Hong Kong in 2022, one of many other folks acknowledged. The deal became once shelved attributable to volatile market prerequisites.

The insurer, which is most up-to-date in 10 Asian markets, aimed to raise $2 billion to $3 billion in a New York IPO in 2021 but shelved the opinion attributable to lengthy delays in acquiring U.S. regulatory approval.

The revival of the Hong Kong itemizing opinion is in its early stages and could swap reckoning on market prerequisites and investor sentiment, the opposite folks acknowledged.

A itemizing would bolster the outlook for the Asian financial hub which has considered a descend in contemporary listings amid Chinese language financial slowdown and geopolitical rigidity.

The benchmark Dangle Seng index has risen 9 per cent this year after ending last year down 13.8 per cent.

FWD, whose minority shareholders consist of Swiss Re and Apollo World Management raised $1.83 billion in non-public placements in 2021 and 2022, Reuters has reported, valuing the insurer at around $9 billion on a put up-money foundation.

Closing year, FWD reported a 22 per cent soar within the worth of contemporary business – a key profitability indicator for insurers – to $991 million, and 27 per cent enhance in working earnings after tax to $372 million, its web spot confirmed.