One week Prudential are in the news for organising Britain’s largest ever rights issue to pay for the takeover of AIG, now they are in the news for the collapse of talks as AIG says no to Pru’s offer.
AIG made this statement:
“After careful consideration, the company will adhere to the original terms of its previously announced agreement with Prudential plc for Prudential to acquire AIG’s wholly owned pan-Asian life insurance subsidiary, AIA Group Limited. The company will not consider revisions to those terms.”
The big question now is if the takeover talks collapse completely will Prudential become the target of a larger takeover? Jobs are on the line and the future of Prudential itself now hangs in the balance.