FWD Group’s IPO Caps Four‑Year Odyssey with a Steady Hong Kong Debut

8 July 2025

Richard Li (left) attends the IPO ceremony of his FWD Group at Exchange Square in Central, Hong Kong. Shanshan Kao/Forbes Asia

FWD Group, the pan‑Asian insurer founded by billionaire Richard Li, celebrated the successful close of its much‑anticipated IPO on July 7 with an opening share price flat at HK$38 and a modest 1 percent rise by the end of the day signalling a stable market reception after years of delays and recalibrations. The offering, which drew 91.34 million shares, raised a substantial US $442 million and placed FWD’s market valuation at approximately US $6.14 billion, marking a pivotal milestone in the company’s strategic evolution.

FWD’s path to listing began in 2021 with a planned IPO in New York meant to raise US $2-3 billion. Regulatory scrutiny in the United States, owing to its HK‑operational-plus-Mainland‑China structure, hindered those aspirations. A secondary attempt in 2022 to go public in Hong Kong was halted amid volatile global markets delaying FWD’s ambitions until financial conditions became more favourable.

By the time it returned to the Hong Kong Stock Exchange window in mid-2025, the insurer had already attracted cornerstone investment support: US $150 million from Mubadala Capital and US $100 million from T&D Holdings, with an additional overallotment option poised to raise another US $67 million. These pre-IPO commitments demonstrated sustained investor confidence ahead of the public offering.

The IPO’s outcome reflected both momentum and restraint. While the share price did not surge as some hoped, the retail tranche was oversubscribed by an impressive 37 times, complemented by a 2.3‑times subscription rate from institutional investors. Hong Kong benchmark, the Hang Seng Index, declined by 0.12 percent on the same day, underscoring that FWD outperformed the broader market.

Turning to its financials, FWD posted a compelling recovery: a net profit of US $10 million in 2024, reversing a loss of US $717 million from the prior year. This swift turnaround has been attributed to improved underwriting results, digital strategy enhancements, and expanded regional operations spanning ten Asian markets.

CEO Huynh Thanh Phong framed the IPO as “not the end game” but rather as strategic capital to fuel future expansion. Objectives include strengthening the company’s balance sheet, reducing debt, scaling distribution networks, and boosting its digital ecosystem to enhance competitiveness across Asia.

FWD’s successful listing also highlights broader market dynamics in Hong Kong. Its debut contributes to a record year in equity capital markets, following blockbuster listings like CATL that reinvigorated investor sentiment throughout 2025. For local authorities and stock exchanges, FWD’s journey reinforces the city’s attractiveness as a gateway for major Asia‑centric companies seeking public funding.

Yet challenges remain. The IPO pricing suggests a tempered investor outlook, and FWD will need to shift attention to execution and generating sustainable returns. Its reliance on strategic cornerstone investors may limit free float and volatility favouring stability over trading excitement. Furthermore, regional uncertainties such as trade tensions and economic slowdowns could weigh on future performance.

Looking ahead, FWD is positioned for the next phase: an aggressive push into underserved Southeast Asian insurance markets, deepening partnerships with distribution platforms, and capitalising on rising demand for life, health, and micro‑insurance products. Its digital investments and scalable frameworks may help navigate diverse regulatory environments and nimble competitors.

For Richard Li, the IPO represents both personal and symbolic success, a fulfilment of his multi‑year ambition to take FWD public in its home city. The path from New York setbacks to a hometown debut reflects strategic persistence and operational evolution. As FWD begins trading under the stock code 1828, investors globally will be watching to see whether execution matches aspiration.

FWD’s controlled IPO launch, underscored by stable pricing, oversubscription, and a lean yet profitable capital base, suggests it has crossed the threshold from ambition to accountability and that its next chapter is now very much in the public domain.