Prudential/AIG deal: Blow for Clive Cowdery’s Resolution

Deal hunting: Clive Cowdery's Resolution has only so far acquired Friends Provident

11 April 2012

What next for Clive Cowdery? The insurance innovator's takeover vehicle Resolution is desperately on the hunt for deals, but the door on one he favoured seemed to be slammed shut today.

Resolution has so far only managed to acquire Friends Provident, a minnow compared to the Pru, in its drive to consolidate the sector. It needs to bolt on several more deals to achieve the cost synergies he needs, with one large deal the easiest way to achieve that.

He had hoped to persuade the Prudential to sell him its UK business, perhaps as part of its move into Asia.Today Prudential insisted that it plans to keep its British arm.

Following speculation at the weekend, Resolution issued a statement noting that it "is not in discussions with Prudential regarding the acquisition of its UK life assurance operations".

Resolution shares, which floated at 100p, have not yet been a good investment. Today they rose 0.1p to 72.4p.