Prudential investors seek demise of Tidjane Thiam

Some of Prudential's largest shareholders will demand the head of chief executive Tidjane Thiam over the insurer's failed £24 billion bid for AIG's Asian unit, according to reports.

Fidelity, Legal & General Investment Management and Schroders will hold talks with either Harvey McGrath, the Pru's chairman, or James Ross, senior independent director on the company's board.

The investors, angered by the £450 million costs from the takeover attempt, will call for an immediate recruitment process to find a replacement for Thiam, Sky News said.

Members of the National Association of Pension Funds also plan to meet Prudential on June 22 to discuss whether boardroom changes would be necessary.

Thiam sought to soothe investor anger at the company's annual general meeting on Monday, apologising for the misadventure's huge costs and deflecting criticism over what one investor said was a "strategic foul-up of momentous proportions".

Investors by the Times remained critical of management and were moving towards a push to oust McGrath over Thiam. They also thought Thiam and other top executives should waive their annual bonuses if they were to avoid further shareholder backlashes.

"It would be the right thing to do. They need to share some of the pain with shareholders," one investor said.

Thiam said earlier this week: "I am a servant of the shareholders. If my shareholders wanted me to resign of course I would. So far they have not expressed that desire."