The Pru's 'cordial' investor meeting

Insurer Prudential yesterday said a meeting with investor Fidelity had been "cordial" following speculation the fund manager would call for its chairman to resign.

Weekend press reports had suggested Fidelity would demand chairman Harvey McGrath stood down following Prudential's failed takeover attempt for the Asian insurance arm of AIG.

Prudential was left with a 450m bill following the collapse of its 35.5 billion US dollars (23.97bn) takeover of AIA.

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The deal would have been one of the biggest foreign takeovers ever attempted by a British company if it had gone ahead.

A Prudential spokesman said: "The meeting today between Fidelity and chairman Harvey McGrath was a cordial, open and considered exchange of views.

"In particular, and contrary to recent widespread media speculation, no specific resignations were called for."

Prudential's board has come under mounting pressure following the group's decision to pull the takeover, with some shareholders calling for its chief executive Tidjane Thiam to go.

However, around 40 per cent of Prudential's shares are held by its 10 biggest shareholders, the majority of whom are thought to continue to support the insurer's management.

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