UK insurer Prudential says it will buy AIG’s Asian unit for $35.5 billion

UK’s Prudential buys AIG Asia business for $35.5B

LONDON — British insurer Prudential PLC says it will buy the Asian unit of bailed-out U.S. insurance company AIG in a deal worth $35.5 billion.

Prudential says it will pay $25 billion in cash and $10.5 billion in new shares and other securities.

Prudential said Monday that it will raise $20 billion of the cash through a rights issue.

The combined group will be the leading life insurer in Hong Kong, Singapore, Malaysia, Indonesia, Vietnam, Thailand and the Philippines, with the leading foreign life insurance business in China and India.