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Pru promotes US subsidiary head to group chief

Pru promotes US subsidiary head to group chief

Mike Wells has been named as Prudential’s new group chief executive, taking over from outgoing chief Tidjane Thiam on 1 June 2015.

Mr Wells has served on Prudential plc’s board since January 2011 and is currently president and chief executive of Jackson National Life Insurance Company, Prudential’s wholly owned US subsidiary.

He has worked in life insurance, retirement services and asset management for 29 years and has served in senior and strategic positions at Jackson since joining in 1995.

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Mr Wells’ basic salary will be £1.1m and he will have a maximum bonus opportunity of 200 per cent of base salary, with 40 per cent of any bonus deferred into the company’s shares. Long-term incentive awards will be 400 per cent of base salary, Pru added.

Mike Wells has not been appointed for a fixed term but his service contract contains a notice provision under which either party may terminate upon 12 months’ notice.

Paul Manduca, chairman of Prudential plc, said: “Following a rigorous succession planning process, we have found a fitting and experienced successor to Tidjane in Mike Wells, who has extensive experience of life insurance and asset management.

“Under his leadership, Jackson’s profit has doubled and its cash remittances increased to a record £415m in 2014. This has all been achieved while continuing to take a disciplined approach to risk management. As a member of the board he has contributed to our successful strategy, which has delivered value for our customers and shareholders. The group will make further progress under his leadership.”

In March it was announced that Mr Thiam was stepping down from his role after agreeing to join Credit Suisse as chief executive.

Mr Manduca said: “The board is very sorry to lose Tidjane as group chief executive but understands his desire to step down after leading the group for six successful years. He has made an exceptional contribution to the group’s success in recent years.”

donia.o’loughlin@ft.com