The Government of Singapore Investment Corp (GIC) is taking part in Prudential's cash-call exercise as the UK insurance giant seeks funds to take over American International Assurance (AIA).
Prudential has confirmed that GIC has agreed to underwrite "a significant portion" of its US$20 billion ($28 billion) rights issue to finance its US$35.5 billion purchase of AIA.
It did not provide further details.
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Meanwhile, the GIC said on Friday that it has converted its UBS notes into ordinary shares, suffering a paper loss of about US$5 billion. GIC had invested 11 billion Swiss francs or about US$10.22 billion in mandatory convertible notes in UBS to support the Swiss bank during the financial crisis.
No other details were provided.
However, just last month, a filing that GIC made to the United States Securities and Exchange Commission showed the original conversion price would be 47.7 Swiss francs.
That was two-thirds more than UBS' last share price of 15.86 francs.
