Ping An will consider buy-backs of Hong Kong shares, CFO says
- Insurer says it may extend Shanghai equity buy-back programme to include Hong Kong shares
- Ping An said Tuesday it has allocated 10 billion yuan (US$1.49 billion) to buy-back its Shanghai traded A-shares over the next 12 months
Mainland financial giant Ping An Insurance may extend its share buy-back plan to include its Hong Kong equity, according to its chief financial officer Jason Bo Yao.
“We will consider repurchasing H-shares in future if management considers the repurchase would benefit shareholders,” Yao told a media briefing in Hong Kong on Wednesday, without providing a timeline or a specific figure on the buy-back.
In a stock exchange filing on Tuesday the company said that it plans to spent up to 10 billion yuan (US$1.49 billion) to buy-back its Shanghai traded A-shares over the next 12 months. The share repurchase reflected the fifth largest buy-back ever by a Chinese company, according to Refinitiv.
The Shenzhen based insurance, bank and technology company is listed in Hong Kong and Shanghai.
The company has 1.8 million employees.
The repurchase price will not be higher than 101.24 yuan, 46 per cent higher than its closing price in Shanghai of 69.25 yuan on Tuesday, Yao said.
“This is our first share repurchase scheme as the management considers the company’s A-shares are undervalued. We will continue to buy-back in future to bring benefit to investors. This is also aimed at supporting the regulator and the country’s share buy-back policy,” Yao said.