What happened

Shares of Genworth Financial (NYSE:GNW) have soared today, up by 15% as of 1:30 p.m. EDT, following a report that China Oceanwide is working to secure financing for its acquisition of the company. Genworth separately announced a proposed private offering of senior notes.

So what

China Oceanwide chairman Zhiqiang Lu is in San Francisco attempting to finalize financing for its acquisition of the insurance company, according to Dealreporter. The transaction was first announced way back in October 2016 but has been delayed over a dozen times. The acquisition is currently facing a deadline of Aug. 31 for Oceanwide to confirm that it has $1 billion in financing available in China. Chinese private equity firm Hony Capital is still expected to play a role in helping to finance the deal.

Genworth Financial office building surrounded by trees

Image source: Genworth Financial.

Genworth is looking to raise $750 million through a private offering of senior notes due in 2025. That paper will be issued by subsidiary Genworth Mortgage Holdings (GMHI) and will not be backed by Genworth Financial, its subsidiaries, or GMHI subsidiaries. GMHI will keep $300 million of the proceeds and distribute the rest of the money to its direct parent company in order to pay down debt as part of an agreement with French insurance giant AXA. That agreement was part of a settlement between Genworth and AXA from last month over a dispute regarding liability for payment protection insurance (PPI) mis-selling losses.

Now what

Of the news today, the progress on the acquisition is more meaningful to investors, as they've been waiting for nearly four years for the $2.7 billion deal to be completed.