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Prudential to spin off UK and European business in radical break-up

Reuters  |  LONDON 

By Ben Martin

LONDON (Reuters) - Britain's is to spin-off its UK and European division from its international businesses as part of a radical break-up of the 170-year-old company.

The giant said on Wednesday that it planned to demerge M&G into a separate company with a premium listing on the and based in the UK capital.

The split will leave as a company focused on Asia, the and It will remain headquartered and listed in London and led by John Foley, who currently heads up the M&G division, will steer that through the demerger.

"The decision to demerge M&G follows a rigorous review by the board which considered all options, including the status quo, and concluded that it is in the best interest of the group to operate as two separately-listed companies, able to

focus on their distinct strategic priorities in their chosen geographies," Paul Manduca, Prudential's chairman, said.

It came as announced the sale of a 12 billion-pound UK annuities book to and posted annual results for 2017, which showed a 6 percent rise in operating profits to 4.7 billion pounds. That beat market expectations of 4.6 billion pounds.

(Reporting by Ben Martin, editing by Sinead Cruise)

(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)

First Published: Wed, March 14 2018. 14:38 IST