Chinese Bank Takes Stake In Major UK Insurance Company
One of the biggest life insurance companies, the Prudential, has seen a 1 percent stake in the business bought by the Peoples Bank of China.
The holding is worth around GBP130 million and sees the Chinese bank listed as one of the top non-individual investors in the Prudential. The move is not seen as threatening in any way though since the Chinese bank invests in a variety of organisations, with a one percent stake quite normal for them.
It has been suggested that it is the success of the Prudential in the Asian markets that prompted the investment, which could well be the case. For the first half of the year the Prudential saw their Asian business grow by around 14 percent, so an investment in this level of growth would make good financial sense.