SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 6-K
REPORT OF FOREIGN PRIVATE ISSUER
Pursuant to Rule 13a-16 or 15d-16 of
the Securities Exchange Act of 1934
For the
month of July, 2020
PRUDENTIAL PUBLIC LIMITED COMPANY
(Translation of registrant's name into English)
1 Angel Court, London,
England, EC2R 7AG
(Address
of principal executive offices)
Indicate
by check mark whether the registrant files or will file annual
reports
under
cover Form 20-F or Form 40-F.
Form
20-F X
Form 40-F
Indicate
by check mark whether the registrant by furnishing the
information
contained
in this Form is also thereby furnishing the information to
the
Commission
pursuant to Rule 12g3-2(b) under the Securities Exchange Act of
1934.
Yes
No X
If
"Yes" is marked, indicate below the file number assigned to the
registrant
in connection with Rule 12g3-2(b): 82-
17 July 2020
Prudential plc completes $500 million equity investment in its US
business by Athene Holding Ltd
The Board of Prudential plc ("Prudential") today announces the
completion of a $500 million equity investment by Athene Life Re
Ltd, a subsidiary of Athene Holding Ltd ("Athene"), in Prudential's
US business in return for an 11.1 per cent economic interest for
which the voting interest is 9.9 per cent.
Prudential's US business includes Jackson National Life Insurance
Company ("Jackson"), a top-two annuity provider with best-in-class
products, distribution and operations headquartered in Lansing,
Michigan, and PPM America Inc, an asset manager headquartered in
Chicago, Illinois.
Mike Wells, Group Chief Executive of Prudential, said: "We are
delighted to announce the completion of Athene's $500 million
equity investment in our US business. The transaction has increased
its risk-based capital cover ratio and is a significant step in
meeting our strategic objectives for the business."
Michael Falcon, Chairman and Chief Executive Officer of Jackson,
said: "Athene's investment in Jackson further strengthens our
capital position, as we deliver on our long-term strategic
objectives. We look forward to working with Athene as an important
investor and remain committed to helping American savers achieve
financial freedom for life."
Contacts
Media
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Investors/Analysts
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Jonathan
Oliver
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+44
(0)20 3977 9500
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Patrick
Bowes
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+44
(0)20 3977 9702
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Tom
Willetts
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+44
(0)20 3977 9760
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William
Elderkin
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+44
(0)20 3977 9215
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Notes to Editors
About Prudential's US business
Jackson is a leading provider of retirement products for industry
professionals and their clients. The company and its affiliates
offer variable, fixed and fixed index annuities designed for
tax-efficient growth and distribution of retirement income for
retail customers, as well as products for institutional investors.
Jackson is a proud founding member and co-chair of the Alliance for
Lifetime Income, a nonprofit 501(c)(6) organization formed and
supported by 24 of the nation's financial services organizations to
create awareness and educate Americans about the importance of
protected lifetime income. With $297.6 billion in IFRS assets*, the
company prides itself on sound corporate risk management practices
and strategic technology initiatives. Focused on thought leadership
and education, Jackson provides industry insights and financial
representative training on retirement planning and alternative
investment strategies. The company is also dedicated to corporate
philanthropy and supports nonprofits focused on strengthening
families and creating economic opportunities in the communities
where its employees live and work. For more information,
visit www.jackson.com.
Founded in 1990, PPM America is a global institutional asset
manager with $130 billion in assets as of 31 March 2020. It offers
investment solutions in public fixed income, public equity, private
equity, and private debt. Its investment approach is guided by
team-based values and its firm size allows the company to remain
nimble and investment-led. For more information, please
visit www.ppmamerica.com.
*Prudential plc's US business has IFRS total assets of $299.2
billion (of which $297.6 billion relate to Jackson) and $269.5
billion of IFRS policyholder liabilities (as of 31 December
2019).
About Prudential plc
Prudential plc is an Asia-led portfolio of businesses focused on
structural growth markets. The business helps individuals to
de-risk their lives and deal with their biggest financial concerns
through life and health insurance, and retirement and asset
management solutions. Prudential plc has 20 million customers and
is listed on stock exchanges in London, Hong Kong, Singapore and
New York. Prudential plc is not affiliated in any manner with
Prudential Financial, Inc. a company whose principal place of
business is in the United States of America, nor with the
Prudential Assurance Company, a subsidiary of M&G plc, a
company incorporated in the United Kingdom.
About Athene Holding Ltd
Athene, through its subsidiaries, is a leading retirement services
company that issues, reinsures and acquires retirement savings
products designed for the increasing number of individuals and
institutions seeking to fund retirement needs. The products offered
by Athene include:
●
Retail
fixed, fixed indexed and index-linked annuity
products;
●
Reinsurance
arrangements with third-party annuity providers; and
●
Institutional
products, such as funding agreements and the assumption of pension
risk transfer obligations.
Athene had total assets of $142.2 billion as of 31 March 2020.
Athene's principal subsidiaries include Athene Annuity & Life
Assurance Company, a Delaware-domiciled insurance company, Athene
Annuity and Life Company, an Iowa-domiciled insurance company,
Athene Annuity & Life Assurance Company of New York, a New
York-domiciled insurance company, and Athene Life Re Ltd., a
Bermuda-domiciled reinsurer.
Forward-Looking Statements
This document may contain 'forward-looking statements' with respect
to certain of Prudential's plans and its goals and expectations
relating to its future financial condition, performance, results,
strategy and objectives. Statements that are not historical facts,
including statements about Prudential's beliefs and expectations
and including, without limitation, statements containing the words
'may', 'will', 'should', 'continue', 'aims', 'estimates',
'projects', 'believes', 'intends', 'expects', 'plans', 'seeks' and
'anticipates', and words of similar meaning, are forward-looking
statements. These statements are based on plans, estimates and
projections as at the time they are made, and therefore undue
reliance should not be placed on them. By their nature, all
forward-looking statements involve risk and
uncertainty.
A number of important factors could cause Prudential's actual
future financial condition or performance or other indicated
results of the entity referred to in any forward-looking
statement to differ materially from those indicated in such
forward-looking statement. Such factors include, but are not
limited to, the impact of the current Covid-19 pandemic; future
market conditions, including fluctuations in interest rates and
exchange rates, the potential for a sustained low-interest rate
environment, and the impact of economic uncertainty, asset
valuation impacts from the transition to a lower carbon economy,
inflation and deflation and the performance of financial markets
generally; global political uncertainties; the policies and actions
of regulatory authorities, including, in particular, the policies
and actions of the Hong Kong Insurance Authority, as Prudential's
new Group-wide supervisor, as well as new government initiatives
generally; the impact of continuing application of Global
Systemically Important Insurer or 'G-SII' policy measures on
Prudential; the impact on Prudential of systemic risk policy
measures adopted by the International Association of Insurance
Supervisors; the impact of competition and fast-paced technological
change; the effect on Prudential's business and results from, in
particular, mortality and morbidity trends, lapse rates and policy
renewal rates; the physical impacts of climate change and global
health crises on Prudential's business and operations; the timing,
impact and other uncertainties of future acquisitions or
combinations within relevant industries; the impact of internal
transformation projects and other strategic actions failing to meet
their objectives; the ability to complete a potential minority
initial public offering of Jackson, or one of its related
companies, or other strategic options in relation to Jackson, or
one of its related companies; the risk that Prudential's
operational resilience (or that of its suppliers and partners) may
prove to be inadequate, including in relation to operational
disruption due to external events; disruption to the availability,
confidentiality or integrity of Prudential's information
technology, digital systems and data (or those of its suppliers and
partners); any ongoing impact on Prudential of the demerger of
M&G plc; the impact of changes in capital, solvency standards,
accounting standards or relevant regulatory frameworks, and tax and
other legislation and regulations in the jurisdictions in which
Prudential and its affiliates operate; the impact of legal and
regulatory actions, investigations and disputes; and the impact of
not adequately responding to environmental, social and governance
issues. These and other important factors may, for example, result
in changes to assumptions used for determining results of
operations or re-estimations of reserves for future policy
benefits. Further discussion of these and other important factors
that could cause Prudential's actual future financial condition or
performance or other indicated results of the entity referred
to in any forward-looking statements to differ, possibly
materially, from those anticipated in Prudential's forward-looking
statements can be found under the 'Risk Factors' in
Prudential's Annual Report for the year ended 31 December 2019.
Prudential's 2019 Annual Report is available on its website
at www.prudentialplc.com.
Any forward-looking statements contained in this document speak
only as of the date on which they are made. Prudential expressly
disclaims any obligation to update any of the forward-looking
statements contained in this document or any other forward-looking
statements it may make, whether as a result of future events, new
information or otherwise except as required pursuant to the UK
Prospectus Rules, the UK Listing Rules, the UK Disclosure and
Transparency Rules, the Hong Kong Listing Rules, the SGX-ST listing
rules or other applicable laws and regulations.
SIGNATURES
Pursuant
to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf
by the undersigned, thereunto duly authorized.
Date: 17 July 2020
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PRUDENTIAL
PUBLIC LIMITED COMPANY
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By: /s/ Mark
FitzPatrick
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Mark
FitzPatrick
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Group
Chief Financial Officer and Chief Operating Officer
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