SG Morning Highlights | Prudential Launches US$2 Billion Share Buyback Programme

Singapore shares opened lower on Monday. The $FTSE Singapore Straits Time Index (.STI.SG)$ dropped 0.07 percent to 3303.83 as at 9:08 am.

$Prudential USD (K6S.SG)$: Prudential has announced a US$2 billion share buyback programme, expected to be completed no later than mid-2026, as part of its efforts to return capital to shareholders. The first tranche of the programme, totalling $700 million, will allow for the purchase of a maximum of 200 million of Prudential's ordinary shares. The move is expected to reduce the company's issued share capital. Goldman Sachs has been appointed to conduct the buyback and make trading decisions independently of Prudential for the first tranche of the programme. Prudential CEO Anil Wadhwani expressed confidence in the insurer's prospects, stating that progress towards the company's financial objectives will increase the potential for further cash returns to shareholders.

$Food Empire (F03.SG)$: Food and beverage manufacturer Food Empire has signed a non-binding term sheet to issue Asean private equity fund manager Ikhlas Capital Singapore up to US$40 million in redeemable exchangeable notes. Ikhlas Capital's investment will be made into a special purpose vehicle that will have the option to hold a portfolio of business operations, including Food Empire's South-east Asian and South Asian businesses. Proceeds from the new strategic partnership and proposed note issuance will be used to drive Food Empire's capital expenditures and mergers and acquisitions in South-east Asia and South Asia. Food Empire highlighted Ikhlas Capital's local presence, knowledge, and network in South-east Asia, which it believes will help the group further accelerate growth and scale in the region and internationally.