Old Mutual expands LatAm footprint

Financial services giant Old Mutual has bought a large interest in Latin American AIVA Business Platforms in an effort to strengthen its distribution capability in selected emerging markets.

AVIA is a family-owned business platform and distribution business based in Uruguay and works throughout the whole LatAm region. Old Mutual said that it has acquired a "majority stake" in AIVA, though the size and cost of the purchase was not specified.

The company has assets under management of over $800m.

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Old Mutual has worked with AIVA - which provides services to a network of IFAs, wealth managers and other institutions - for over 15 years in administration, servicing and investment.

"AIVA, together with Old Mutual's Emerging Markets businesses, will take advantage of operational synergies in Colombia and Mexico in due course," the firm said.

The acquisition is subject to the approval of regulators but is expected to complete early next year.

Paul Hanratty, the Chief Executive Officer of Old Mutual's Long-Term Savings business said: "The deepening of the relationship between Old Mutual and AIVA provides a firm base from which we can capitalise on opportunities in these fast-developing investment markets in an efficient and low capital manner."