Prudential's plans to overhaul its securities unit, which include a major reduction in its investment banking presence, has left the future of Prudential Vector Securities up in the air. Pru acquired Vector in 1999 to help re-establish itself in the biotech space (see BioCentury, June 14, 1999).
The driver behind the restructuring is Pru's hope to sell an IPO. The firm has been a mutual life insurance company (owned by its policyholders), but last month its board agreed to demutualize and become a stock life insurance company.
No official statement has been made about Pru's plans for Prudential Vector, but as they say, the firm is "assessing strategic options" for the unit. If Prudential drops biotech, this will be the second time it has done so - the first time being when Joe Edelman left