Hong Kong based reinsurer Peak Reinsurance Company Limited (Peak Re) said this morning that it has taken a minority investment from a subsidiary of U.S.-headquartered Prudential Financial, Inc.
The transaction has been achieved through the issuance of new shares in Peak Re, with Prudential Financial taking 13.1% of the reinsurer as a result of the investment and owner Fosun retaining the remaining 86.9%.
The deal also saw Peak Re Holdings shares that were held by International Finance Corporation (IFC), part of the World Bank Group, sold to Fosun prior to the sale of the shares to Prudential Financial.
Peak Re said that is, “In view of IFC’s continuing focus on emerging markets and Peak Re’s emergence as a globally diversified reinsurer with strong positions in developed markets including the Americas and Europe.”
Franz-Josef Hahn, Chief Executive Officer of Peak Re, commented on the news, “We want to thank Fosun and International Finance Corporation for supporting this successful venture and are pleased to welcome PFI as a new investor as we continue to build Peak Re into a leading global reinsurer.”
Peak Re said that as a rapidly growing international reinsurer the company expects to benefit from this investment to support its continued growth.