Asian sovereign funds ready to back Prudential’s AIA deal: Report

Updated On: Mar 03, 2010
Sovereign wealth funds from China and Singapore have been lined up to help fund Prudential's $35.5bn purchase of AIA, the Asian arm of AIG, in a move that could give state-backed investors a substantial stake in the region's biggest insurer, a report says.
The Financial Times quoted unidentified sources as saying that Prudential and its advisers were in talks with the sovereign wealth funds to support a planned 20 billion-dollar share offer for AIA.
The move, if happens, is a sign that, after suffering big losses on their investments in western financial groups during the crisis, sovereign wealth funds are prepared to put their money back into the sector, especially on deals in their core markets.
Singapore's Temasek Holdings and China Investment Corp (CIC), among the region's major sovereign wealth funds, would not comment on whether they had been approached by the British insurer.

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