Old Mutual plc, the Johannesburg and London-listed financial services group, on Wednesday said it had completed the acquisition of a discretionary investment manager, Quilter Cheviot, for an undisclosed sum.
At 31 December 2014, Quilter Cheviot had £16.7 billion of funds under management.
As part of the payment for the acquisition, Old Mutual will issue an additional 19.325,430 restricted ordinary shares of 11 3/7p each to a trust established for the benefit of certain of the employee shareholders in Quilter Cheviot.
Applications have been made for these additional shares to be admitted to listing and trading on the London Stock Exchange (LSE).
Also, applications will be made for them to be listed on the JSE and on the other exchanges on which Old Mutual plc’s shares are listed.
Julian Roberts, Old Mutual Group CEO, said the acquisition of Quilter Cheviot was the final substantive part in the company’s strategy of building the United Kingdom’s leading retail investment business.
“We are delighted that they are part of our Group,” Roberts said. “This acquisition will allow us to deliver a complete set of solutions which meet the wide-ranging needs of advisers and clients,” he added.
Old Mutual provides investment, savings, insurance and banking services to more than 16 million customers in Africa, the Americas, Asia and Europe.
Originating in South Africa in 1845, Old Mutual has been listed on the London and Johannesburg Stock Exchanges, among others, since 1999.
In the year ended 31 December 2013, the Group reported adjusted operating profit before tax of £1.6 billion and had £294 billion of funds under management from core operations.