Old Mutual has sold its 26% stake in an Indian life
insurance company to the venture’s partner, Kotak Mahindra Bank, for
13-billion rupees (about R2.7bn), it announced on Friday morning.
The deal terminates an alliance with Kotak Mahindra made in 2001 in which Old Mutual had an option to raise its stake in the joint venture to 49% — the maximum foreign ownership allowed by Indian regulations.
Besides announcing the sale of its Indian associate, Old Mutual issued the first-quarter update for its UK business, Old Mutual Wealth.
The group is in the process of stripping itself down to Old Mutual Emerging Markets (OMEM) by separating from its UK and US arms and its banking subsidiary Nedbank.
"We have started the year very strongly with our highest ever quarter for net client cash flow and funds under management," Old Mutual Wealth CEO Paul Feeney said in Friday’s statement.
Integrated flows from what it calls its intrinsic division increased 60% to £800m from £500m in the first quarter of 2016.
"While we are hopeful that this momentum will continue throughout 2017, we expect that markets will remain volatile and challenging in the medium term, particularly until both the outcome of the upcoming general election and greater details on the terms of the UK’s exit from the EU are known," Feeney said.
Old Mutual Wealth, which has been strengthening its board ahead of its expected unbundling into an independently listed company, appointed Tim Tookey as chief financial officer.
He replaces Mark Satchel, who will remain with the group as Tookey’s deputy.
"Old Mutual Wealth has taken another positive step in its preparation for managed separation. Tim has a proven track record in senior roles in finance for publicly listed companies. I look forward to working further with Tim and Mark in their new roles," Old Mutual group CEO Bruce Hemphill said in the statement.
Bdlive
 |
| Old Mutual. Picture: BLOOMBERG/SIMON DAWSON |
The deal terminates an alliance with Kotak Mahindra made in 2001 in which Old Mutual had an option to raise its stake in the joint venture to 49% — the maximum foreign ownership allowed by Indian regulations.
Besides announcing the sale of its Indian associate, Old Mutual issued the first-quarter update for its UK business, Old Mutual Wealth.
The group is in the process of stripping itself down to Old Mutual Emerging Markets (OMEM) by separating from its UK and US arms and its banking subsidiary Nedbank.
"We have started the year very strongly with our highest ever quarter for net client cash flow and funds under management," Old Mutual Wealth CEO Paul Feeney said in Friday’s statement.
Integrated flows from what it calls its intrinsic division increased 60% to £800m from £500m in the first quarter of 2016.
"While we are hopeful that this momentum will continue throughout 2017, we expect that markets will remain volatile and challenging in the medium term, particularly until both the outcome of the upcoming general election and greater details on the terms of the UK’s exit from the EU are known," Feeney said.
Old Mutual Wealth, which has been strengthening its board ahead of its expected unbundling into an independently listed company, appointed Tim Tookey as chief financial officer.
He replaces Mark Satchel, who will remain with the group as Tookey’s deputy.
"Old Mutual Wealth has taken another positive step in its preparation for managed separation. Tim has a proven track record in senior roles in finance for publicly listed companies. I look forward to working further with Tim and Mark in their new roles," Old Mutual group CEO Bruce Hemphill said in the statement.
Bdlive
No comments:
Post a Comment