While Promina is remaining relatively tight-lipped in regards to the progress of its $2 billion float, the media has been telling its own stories. Leading commentators have given the float a lacklustre response, and suggest that mum and dad investors are shying away from the offer. Among the reasons they say: weak equity market conditions and a lack of faith in the Australian insurance industry.

AAMI, Promina’s jewel in its crown, has posted leaflets to its customers to inform them they can get a priority allocation of shares worth $3500 over applicants who did not pre-register for a prospectus. Retail investors will get a 10¢ discount to the institutional offer price, which will be set via a bidding process in May within a range of $1.50 to $2 a share. Institutions have predicted the float will be priced towards the lower end of the range.

The group has invested a reported $50 million in marketing and rebranding expenses.