Pru's largest shareholder plots break-up of insurer

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Prudential's largest shareholder, the Capital Group, is eying a potential break-up of the insurer as a radical alternative to its $35.5bn AIA acquisition.

The Times reports the US investment firm, which owns 12% of the Pru, is understood to have approached three British-based insurers to sound out their interest in a possible consortium bid. Capital is believed to have held informal conversations in recent days with Clive Cowdery's Resolution vehicle, and the insurer's rival Aviva .Another unknown party has also been contacted. At least one other of the insurer's top ten investors is known to support the idea, the paper suggests. Should the break-up plan gain momentum, it could potentially derail the Pru's planned acquisition of AIG's A...

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