South -Africa-Angola Financial Firm, Old Mutual to List Two of its Divisions After Four-way Split

Old Mutual, an anglo-South African financial services provider, has said it will list two of its units after its splits up into four divisions at the end of next year.

The firm, which declared a 37 percent rise in first-half operating profit, is going through a restructuring process that will see it broken into four divisions. Old Mutual says its current structure has become too complex to run following regulatory changes within its operating environment.

It aims to dual-list Old Mutual Wealth and its emerging markets division in London and Johannesburg “at the earliest opportunity in 2018 after our 2017 full year results”, it said in a statement.

The listing will be in the form of a demerger benefiting existing shareholders, with the possibility of an initial public offering for Old Mutual Wealth, it said.
According to a report by Reuters, Old Mutual will be reducing its stake in U.S. firm OM Asset Management to 5.5 percent.

The emerging markets division will come under a new South African holding company, which also includes Old Mutual’s stake in South African bank Nedbank and Old Mutual plc. Reuters reported that Old Mutual expects to keep a “strategic minority stake” in Nedbank.