Activist Hedge Fund Looks to Shake Up Insurance Giant Prudential

February 25, 2020 | Activist Updates, Hedge Funds, News

Activist hedge fund Third Point has taken aim at the 172-year-old insurance giant Prudential (LON: PRU). According to a new filing, Dan Loeb’s shop wants to split the firm into two operations and shutter its British office. This would effectively end the country’s 18-decade presence in England.

In a letter to Prudential directors, Third Point said that no strategic logic existed to keep the company in its current form. It wants to split the firm into two companies: One focused on the United States, the other on Asia. Both divisions operate out of London.

Response to Activist hedge fund Third Point

Prudential responded to Third Point’s letter on Tuesday. It confirmed receipt of the letter and said it plans to “proactively” engage with its shareholders on its corporate strategy. The company also said it plans to provide an update on its performance when it reports annual earnings results on March 11. The company also said it “looks forward to commencing a dialogue with Third Point with regard to the views outlined in its letter.”

Meanwhile, 2019 saw a 17.1% gain for Third Point, which had a sizeable stake in Campbell Soup (NYSE: CPB).

Dan Loeb’s shop also benefited from big gains in Sony.

Finally, a recent letter to shareholders said the hedge fund is concerned about macroeconomic factors this year. It lists risks that include the 2020 election, ongoing trade negotiations with China, and the coronavirus.

Related: The DailyAlts Playbook – Dan Loeb’s Love of Soup, His Distaste for the SEC, Brexit Bargaining, Bernie’s Big Move, and Dalio’s Take on Coronavirus

Free Industry News

Subscribe to our free newsletter for updates and news about alternatives investments.

  • This field is for validation purposes and should be left unchanged.


Latest Alternative Investment News
Digital Assets: Grayscale Protests SEC Rejection Of Spot Bitcoin ETF, Files Suit Against Regulator
June 30, 2022     Digital Assets, Latest News, News, Regulations

Grayscale Investments, the largest digital asset manager globally, has filed a suit against the SEC for rejecting its application to convert the Grayscale Bitcoin Trust into a spot bitcoin ETF….
Venture Capital/ESG: Twelve Raises $130M For World’s First Carbon Transformation Platform

Twelve has raised a $130 million Series B round to scale up its carbon transformation technology that converts captured CO2 into products traditionally made from fossil fuels. The firm’s technology…
FinTech: Sam Bankman-Fried Of FTX Rejects Rumors He Is Acquiring Robinhood
June 30, 2022     Digital Assets, FinTech, News

FTX, the crypto platform owned by billionaire Sam Bankman-Fried, has scotched media reports that it was pursuing a deal to acquire commission-free trading app Robinhood (NASDAQ: HOOD). Bloomberg said Monday…
Alternative Investments/Digital: Amidst A Crypto Winter, 21Shares Launches The World’s Cheapest Physically Backed Bitcoin ETP

21Shares AG has launched a bitcoin ETP tailor-made for today’s crypto market, one that has been mauled by rampaging bears and gripped by a “crypto winter.” The 21Shares Bitcoin Core…