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Hannover Re share now also traded in the USA

Hannover, 17 October 1997:

Hannover Re is the first German reinsurer to trade its shares in the USA in the form of American Depositary Receipts (ADR). Trading commenced on 1 October 1997 under the symbol "HVRRY", with two ADRs corresponding to one DM 5.00 share. Morgan Guaranty Trust is acting as the depositary bank handling the ADR dealing.

ADRs are American depositary receipts for non-US shares; they are issued by US banks and traded in place of the original shares. This provides US investors with an opportunity to acquire non-US shares in the form of US$-denominated securities directly through the "over-the-counter" (OTC) market.

In order to mark the launch of the ADR programme, the company organized a three-day roadshow in New York and Boston. The purpose of the ADR programme is to increase awareness of the share in the USA, where reinsurance stocks are better understood and more highly valued. In this way, the company is also seeking to expand its shareholder base and generate additional demand.