MARKET TALK: AIG Hire Of Pru's Ex-CEO Generates Speculation

19th Jul 2010 08:08

0708 GMT [Dow Jones] American International Group's (AIG) appointment of Mark Tucker, a former CEO of Prudential (PRU.LN), as the new head of its overseas life insurance unit, AIA Group Ltd., forms part of AIG's strategy to launch an IPO of the Asian unit, following its refusal to accept a reduced bid from Prudential a number of weeks back, notes Shore Capital. "The news is likely to generate considerable speculation that one of AIA's first moves as a quoted company will be to launch a bid for Prudential, with the aim of acquiring Pru's own Asian units and combine them with its own," says Shore. Keeps a buy rating on Pru. Prudential shares -0.8% at 518p. ([email protected]) Contact us in London. +44-20-7842-9464 [email protected] (END) Dow Jones Newswires July 19, 2010 03:08 ET (07:08 GMT)