Dec 13 (Reuters) - Financial services group Old Mutual said it would sell 13 million shares in its OM Asset
Management arm through a public offering, as the
group prepares to split into its four main businesses.
The proposed split was revealed in March as regulatory
changes in Europe and South Africa have made Old Mutual, which
started out in 1845 as a life insurance firm in Cape Town, more
complex to run in its current form.
"Old Mutual intends to continue the reduction of its
holdings in OMAM in an orderly manner which balances value,
cost, time and risk," the company said on Tuesday.
Read also: Old Mutual's wealth unit could IPO
OM Asset Management (OMAM) said it had agreed to repurchase
6 million ordinary shares from OM Group (UK) Ltd, a unit of Old
Mutual.
BofA Merrill Lynch, Morgan Stanley & Co, Citigroup,
Credit Suisse Securities (USA) and Evercore ISI are joint
bookrunners for the offering.