Taiwan’s E Sun Financial Holdings has agreed to buy a 91.2% stake in PGIM Securities Investment Trust Enterprise, the Taiwan unit of US insurer Prudential Financial, for NT$2.76 billion (US$83.6 million), in a bid to strengthen its investment capabilities.
Established in 1992, PGIM Securities Investment Trust Enterprise manages 30 mutual funds in Taiwan, with NT$75.4 billion of total assets, accounting for 0.79% of total mutual fund assets in Taiwan.
Joeseph Huang, chairman of E Sun, told reporters on March 18 that the deal will strengthen the company’s competitive position through strategic alliances.
“E Sun and PGIM share a common philosophy and vision, both centered on customer focus, meeting customer needs, and providing high-quality and diverse financial products and services,” Huang said.
The transaction will deepen the development of the firm’s asset management business and align with the government’s policy to develop Taiwan as an asset management hub in Asia, according to Huang.
The transaction is still subject to regulatory approval.
In October, Taiwan’s Private School Fund hired PGIM Securities Investment Trust Enterprise as global investment consultant.
A Private School Fund’s spokesperson tells Asia Asset Management that the transaction will not have any impact on the fund’s operation, but the fund will keep its ear to the ground on the company’s future development.