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Richard Li’s FWD insurance group targeting up to US$3 billion from US IPO as early as September, says source

  • Hong Kong-based FWD is preparing to raise up to US$3 billion from a US IPO as early as next month, says source. Deal will value insurer at some US$13 billion
  • FWD could be the largest insurer from China or Hong Kong to list in the US since China Life’s US$3.5 billion IPO in 2003

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FWD is the insurance arm of Pacific Century Group, the sprawling investment group of Richard Li. Photo: Getty Images
FWD Group, the Hong Kong-based insurer backed by tycoon Richard Li Tzar-kai, is planning to raise up to US$3 billion from an initial public offering in the US next month, according to a person familiar with the transaction.
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PCGI Intermediate Holdings, FWD’s holding company, had made a confidential filing in June, which was reported by the Post . The deal will value FWD at roughly US$13 billion, the report said, quoting another person close to the transaction.

HSBC, JPMorgan, Morgan Stanley, and Goldman Sachs are leading the share sale. JPMorgan did not immediately have a comment, while HSBC and Goldman declined to comment on Tuesday. Morgan Stanley did not immediately respond to a request for comment.

An FWD spokesman declined to comment on the IPO details on Tuesday.

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If successful, FWD’s listing will be the biggest US flotation by a Hong Kong-based insurer, according to data provider Refinitiv. It will also be the largest IPO by an insurer headquartered in China or Hong Kong since China Life Insurance raised US$3.5 billion on the New York Stock Exchange in December 2003.

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