RICHMOND, Va., April 22, 2014 /PRNewswire/ -- Genworth Financial, Inc. (NYSE: GNW) announced that a prospectus has been filed with the Australian Securities and Investments Commission by Genworth Mortgage Insurance Australia Limited ("Genworth Australia"), a holding company for Genworth's Australian mortgage insurance business, for an initial public offering of up to 40 percent of Genworth Australia's ordinary shares by Genworth Australia. The net proceeds of the offering (if completed) will be used by Genworth Australia to repay certain intercompany funding arrangements with subsidiaries of Genworth Financial and those funds will then be distributed to Genworth. Assuming the offering is completed, the gross proceeds of the offering (before payment of fees and expenses) are projected to be between approximately US$400 million and US$700 million, based on the total number of ordinary shares offered (i.e., 30-40% of Genworth Australia's outstanding ordinary shares) and the indicative price range, in each case contained in the prospectus filed today, and on an assumed exchange rate of 0.92 for the Australian dollar, assuming no ordinary shares are designated as "over-allocation shares" and reacquired by Genworth Financial entities as a result of market stabilization activities. Fees and expenses in connection with the offering are currently estimated to range from approximately US$23 million to US$32 million, using the same assumed exchange rate. The completion of the offering is subject to market conditions and valuation considerations including business performance in Australia, and the amount of the net proceeds to be received by Genworth Australia and Genworth Financial depends on, among other things, the number of shares issued in the offering, the final offering price, the number of ordinary shares designated as over-allocation shares and reacquired by Genworth Financial entities as a result of market stabilization activities (if any), and the amount of commissions and expenses of the offering. Genworth Financial has reserved its right to determine the number of ordinary shares to be issued in the offering, the final offering price and the number of shares to be designated as over-allocation shares, if any, and has also reserved its right to elect to not proceed with the offering.