10 Oct 2000

Prudential acquires Core Pacific Securities Investment Trust Enterprise in Taiwan

Prudential plc today announced the acquisition of a 89 percent interest in Taiwanese mutual fund company Core Pacific Securities Investment Trust Enterprise (CPSITE), further expanding its substantial Asian portfolio. Funds under management as at the 30th June were approximately £1.2 billion

The acquisition of CPSITE follows the launch of Prudential's life operation in Taiwan in November 1999 through its acquisition of a 74 percent stake in Chinfon Life Insurance, one of Taiwan's top ten life insurance companies.

Jonathan Bloomer, Group Chief Executive of Prudential plc said,

"The acquisition of a controlling stake in CPSITE marks another stage in our strategic objective of expanding our product range and customer base in Asia. It reflects our position as a leading international financial services provider."

Commenting on the acquisition, Mark Tucker, Chief Executive of Prudential Corporation Asia said,

"This new investment is part of our objective of expanding our mutual funds business across the Asian region, following the success of our operation in India. The acquisition also enables us to broaden further our product range in Taiwan, a strong and growing market for financial services. Prudential is underscoring its confidence in and commitment to both Asia and Taiwan with this new investment".

For further information please contact:

Media:

Tina Christou
020 7458 3719

Stuart Blackmore
020 7548 3520

Analysts:

Rebecca Burrows
020 7548 3537

Notes for editors:

Core Pacific Securities Investment Trust Enterprise was established in 1992 and is the tenth largest unit trust company in Taiwan. Net income for the year ended 31 December 1999 was NT$116 million (£2.5 million) and the net assets of the company are £13 million. CPSITE's product range includes 13 equity funds and 3 bond funds, held by over 70,000 investors.

Established in London in 1848, Prudential plc is a leading international financial services group with a market capitalisation of approximately £18 billion and funds under management of £164 billion at 30 June 2000. In the UK, Prudential is one of the largest life insurance companies and pension annuity providers. In the US, Prudential owns Jackson National Life, the twentieth largest US life insurance company. In Europe, Prudential has entered into strategic distribution arrangements with CNP Assurances in France and Signal Iduna in Germany. Prudential first established its Asian presence in 1923. Today, Prudential is the UK's largest life insurance company in Asia with offices in eleven countries and a network of almost 25,000 agents and staff.

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