Prudential To Enter Indian Insurance Segment

Prudential is currently negotiating with two Indian entities to form a joint venture, focusing on life insurance. The company is in talks with one financial institution and another insurance company, said Peter Davis, group chief executive, Prudential Corp. The company has also decided to set up investment operations in India.

However, it will commence investing in India from 1997 through its operation in Asia. PPM Asia manages $12 billion worth of assets and $130 billion worth of funds around the world.

We will apply for a license to set up shop to invest in India. In the meantime, PPM Asia will commence investing in the country, said Davis. Prudential also has plans to invest in the infrastructure sector in India.

 

For this, it might form a venture capital fund or utilise the institutional fund parked with PPM for the purpose. In the insurance sector, Prudential will concentrate on life insurance initially and then go into annuity. It has also applied for setting up a representative office in New Delhi.