Ping An eyes acquiring Prudential's Asian business

China’s deleveraging campaign has prompted the insurer to look for further growth engines.

Bloomberg reports that Chinese insurer Ping An Insurance (Group) Co. is said to be eyeing the acquisition of Prudential Plc’s Asia business in a deal that would establish its dominance in the booming Asian insurance scene.

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With a $160b market cap, Ping An trails behind only Berkshire Hathaway Inc. in the industry with a massive cash pile that’s miles larger than the market value of all but the world’s top five insurers.

The insurer has been ramping up stake acquisitions in companies including property developer China Fortune Land Development Co. amidst increased pressure to tap on new growth sources following China’s widespread deleveraging campaign to rein in risk in the financial services sector.

Ping An is also said to be leading a multibillion-dollar acquisition of bio-pharmaceutical company China Biologic Products Holdings Inc., which would follow a slew of investments in traditional Chinese medicine producers including Yunnan Baiyao Group Co. and Japan’s Tsumura & Co.

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