In the Margins

Old Mutual to break up into four units

March 11, 2016

By Bloomberg

Old Mutual Plc CEO Bruce Hemphill will break up the U.K. financial services company into four units to reverse years of flagging returns. The insurer will spin off its controlling stake in South African lender Nedbank to shareholders and separate the U.S.-based OM Asset Management business, its U.K. wealth operations and its emerging-market unit by the end of 2018, London-based Old Mutual said in a statement on Friday. The company may consider an initial public offering of some businesses and will use proceeds from any sales to pay down debt and boost payouts to investors, the CEO said. Read the original story from Bloomberg.