Old Mutual completes sale of Old Mutual Wealth Italy
International investment, savings, insurance and banking group Old Mutual has completed the sale of Old Mutual Wealth Italy (OMWI) to Phlavia Investimenti, the Cinven division previously known as ERGO Italia, for EUR278m in cash plus interest up to the date of completion of the deal.
Old Mutual said on Monday that the sale was the final part of the divestment of Old Mutual Wealth’s European businesses, allowing it to focus on its core British and cross-border markets. Proceeds from the transaction would be retained for general corporate purposes, it said.
OMWI had EUR7bn of funds under management and contributed EUR22m of post-tax earnings for the year ending 31 December 2015. At 12.50pm, Old Mutual’s shares were trading at a 0.54% discount at R34.72.