FT reports Old Mutual mulling partial stock sale of US asset management business

FTSE 100-listed Anglo-African financial services group Old Mutual is considering undertaking a part flotation of its US asset management business, an article published in the Financial Times has alleged.

Patrick Bowes, Director of Communications at Old Mutual was cited by the newspaper as saying: "We are exploring a partial IPO [initial public offering] and not envisaging selling control. [We will go] along the lines of Axa and AllianceBernstein."

Nobody was available to comment when ShareCast contacted Old Mutual on Tuesday morning.

The timing of the partial stock sale was reportedly dependent on several conditions, such as markets, operating margins, net client cash flow and investment performance.

Bowes was cited saying there needed to be a "period of consistent client cash inflow".

In the year ended December 31st 2011, Old Mutual reported adjusted operating profit before tax of £1.5bn on an IFRS basis and had £267bn of funds under management from core operations.

Old Mutual's share price was up 1.73% to 200.30p at 11:03 on Tuesday.

MF