Prudential moves top roles to Asia after CEO exit spurs C-suit shake-up

UK-based insurer Prudential’s next chief executive and chief financial officer will be based in Asia for the first time after current group CEO Mike Wells exits the business following seven years in the top role, as part of its ongoing transformation into an Asia and Africa focused business.

Wells intends to retire from the insurer at the end of March and will not stand for re-election as a director at the next annual general meeting.

Prudential said it is conducting a search for a group CEO to be based in Asia to succeed Wells, which includes both internal and external candidates.

Wells became group CEO in 2015, having first joined the Group in 1995. During this time, he executed two strategic demergers and accelerated the development of an Asian shareholder base through a equity issuance on the Hong Kong Stock Exchange.

Mark FitzPatrick (pictured), currently group CFO and COO, will become interim group CEO when Wells steps down. FitzPatrick has asked the board not to consider him for the permanent group CEO role. He has been group CFO of Prudential since 2017, taking on the additional role of COO in 2019.

Prudential said along with its next CEO, the CFO will also be based in Asia, the location of its largest businesses, group regulator and the rest of the senior management team.

Starting April, James Turner, group chief risk & compliance officer, will become the group CFO succeeding FitzPatrick. At the same time, Avnish Kalra, chief risk officer for the group’s Asian and African businesses since 2018, will succeed Turner as group chief risk & compliance officer and will join the group executive committee. Turner and Kalra will both continue to be based in Hong Kong.

Nic Nicandrou, CEO Asia and Africa, will remain responsible for leading all of Prudential’s life insurance and asset management businesses across Asia and Africa and will continue to focus on their operational performance. Nicandrou is based in Asia and has been CEO Asia and Africa since July 2017. He joined Prudential as Group CFO in 2009.

Shriti Vadera, chair of Prudential, said: “Given Prudential’s focus on the growth markets of Asia and Africa, the Board has decided with this managed transition of the leadership structure, that the roles of the Group CEO and the Group CFO will be based in Asia [...]. We have a depth of talent and experience in the executive team under whose leadership the Group will continue to deliver on its strategy.”

“I would like to thank Mike for his outstanding contribution to Prudential over the last 26 years, and particularly as CEO for the last seven years. He has led the Group through one of the most significant periods of change in its 174-year history. He has overseen two strategic demergers and a successful equity raise on the Hong Kong Stock Exchange, whilst steering the Group through the unprecedented events of the pandemic. The Board and I wish him every success in the future,” Vadera added.

Outgoing CEO Wells said: “It has been a privilege to serve Prudential for the last 26 years. Having led the transformation of the Group into an Asia and Africa focused life and health insurer, now is the right time for me to hand over to an Asian based team to take the company forward. I am grateful to have had the opportunity to work with the staff and Board of Prudential during my tenure.”

Commenting on the leadership changes and strategic repositioning of the group, Moodys’ analyst Brandan Holmes said: “The transition of the leadership structure to Asia is in line with the strategic focus of Prudential Plc. We expect the Group to take further steps to simplify its management and operational model, which will improve its efficiency and reduce governance risk related to its current organizational complexity.”

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