Prudential to sell 50 percent AIA China stake

BEIJING, May 19, 2010 (Xinhua via COMTEX) -- The Prudential plc is to sell a 50 percent stake in AIA China once it has completed purchase of the AIA Group Ltd, the American International Group's Asian subsidiary, said Tidjane Thiam, chief executive officer of the Prudential.

According to Chinese regulations, foreign insurers' investment in a joint-venture life insurer should be no more than 50 percent of the joint venture's total equity.

Therefore, the Prudential has to sell 50 percent of AIA China.

The Prudential already has a joint-venture insurance company in China, the CITIC-Prudential Life Insurance Company.

In 2009, AIA's China business floated 188 billion US dollars of premiums. (Edited by Jiang Yujuan, [email protected])