Friday, British insurer Prudential Plc (PUK, PRU.L), announced the completion of the transfer of the assets and liabilities of its agency distribution business and agency force in Taiwan to China Life Insurance Co. Ltd of Taiwan.
The company noted that the transaction, which received regulatory approval on June 16 is expected to increase its Insurance Groups Directive, or IGD capital surplus of nearly GBP 800 million. The Group's IGD capital surplus as announced on May 14, 2009 was estimated at GBP 2.0 billion. On completion of the transaction, the company's surplus would increase to GBP 2.8 billion.
The company holds an important position in the Taiwanese market through its fast growing wholly owned subsidiary PCA Life Assurance Company Ltd and its successful asset management operation PCA Securities Investment Trust Company Ltd. Earlier on February 20, Prudential had invested GBP 45 million to purchase a 9.99% stake in China Life.
Prudential noted that Asia continues to present the Group with excellent profitable growth opportunities in the long term and Taiwan is a key market.
PUK closed Thursday's trading at $13.29 on the NYSE. PRU.L is currently trading on the London Stock Exchange at 424.75 pence, up 19.50 pence or 4.81%, on a volume of 9.22 million shares.
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