“While we firmly believe that the long-term interests of ReAssure are best served by a more diversified shareholder base, there has been no pressing need for Swiss Re to divest shares at a price that we consider to be unrepresentative of ReAssure’s value and future prospects,” Chief Financial Officer John Dacey said in a statement, adding the group still intended to reduce its ownership in ReAssure.
A spokeswoman for the Zurich-based group said it was not currently considering re-starting the IPO process this year, but long-term options remained open.
Under the flotation plans, Swiss Re would have cut its stake in ReAssure to below 50 per cent from 75 per cent now. Japan’s MS&AD Insurance Group Holdings intended to keep its holding at 25 per cent.
Reuters on Wednesday reported Swiss Re was considering postponing or restructuring the London listing due to limited investor appetite.
Swiss Re had set a price range of 2.80 to 3.30 pounds per share for ReAssure, Britain’s sixth-largest life insurer, valuing it at up to 3.3 billion pounds ($4.14 billion).
