Swiss Re is pulling a planned stock listing its Reassure subsidiary after investor demand didn't meet the Swiss reinsurer's expectations.
The Zurich-based reinsurer said on Monday it will suspend the planned initial public offering in London of Reassure. Swiss Re had wanted to reduce its stake in Reassure, which it owns together with MS&AD Insurance Group, below 50 percent from a current 75 percent.
«This action is in response to the heightened caution and weaker underlying demand in the UK primary market from large institutional investors,» Swiss Re said.
The business, which focuses exclusively on the acquisition and management of closed books of life insurance policies, was to have been listed on the main market of the London Stock Exchange. In preparation, Reassure was reorganized into a standalone group and the owners increased the capital position of the business by 481 million pounds ($611 million).
