Rumor: Ping An may buy into Prudential

Ping An Insurance is reportedly considering British insurer Prudential a potential investment target, 21st Century Business Herald reported (in Chinese), citing an unnamed source close to the situation. The rumor has not been confirmed by either party. According to the source, Ping An could spend US$14 billion on an investment in Prudential. The Chinese insurer’s mainland share price dropped by the maximum 10% on Tuesday, following its announcement of a US$20 billion fund-raising program on Monday. Dominic Leung, Ping An’s current chief operations officer, was formerly the head of Prudential Group in Greater China, helping the company become the second-largest Western insurer in the Asian market after AIG.