Prudential sells Korean life insurance business for $1.9bn

US-based Prudential Financial has entered into a definitive agreement with KB Financial Group, a Korean financial services provider, to sell The Prudential Life Insurance Company of Korea.

Under the agreement, Prudential will sell 100 percent of its life insurance business in Korea for cash consideration of approximately 2.3 trillion Korean Won ($1.9 billion).

The company said that proceeds of the transaction are expected to be used for general corporate purposes.

"This transaction is consistent with Prudential Financial’s strategic focus internationally on Japan and higher-growth emerging markets around the world," the company said in a statement.

Completion of the transaction is subject to customary closing conditions, including regulatory approvals. It is expected to occur by the end of 2020.

Established in 1989, Prudential of Korea is a provider of life insurance and other protection products through its signature Life Planner business and growing general agency channel.