MARKET TALK: P&O May Rise; Prudential Eyes Stake - Report

1st Aug 2010 00:50

2350 GMT [Dow Jones] Pacific & Orient (6009.KU) may rise to test MYR0.99 (Friday's intraday high) vs last Friday's close at MYR0.925 (+6.9%), says dealers; this on The Edge weekly report that UK's Prudential PLC (PRU.LN) looking at acquiring P&O's insurance business. Paper quoted unnamed sources as saying Prudential had written to Bank Negara to seek approval to begin talks. P&O's major shareholder, CEO Chan Thye Seng had been contemplating divesting a strategic stake, The Edge says; Chan holds a 61.1% stake in P&O. Prudential currently has a locally-incorporated unit, Prudential Assurance Malaysia Bhd., which has life and general insurance operations. "P&O shares had been rising strongly last week on speculation of an M&A...this report will spur more interest today," dealer says. The parties weren't immediately available for comment. ([email protected]) Contact us in Singapore. 65 64154 140; [email protected] (END) Dow Jones Newswires August 01, 2010 19:50 ET (23:50 GMT)