Products July 12, 2000

Old Mutual Shuffles UAM

December 7, 2000 (PLANSPONSOR.com) - Old Mutual PLC says it plans to split newly-acquired United Asset Management into three units, potentially targeting some UAM affiliates for sale as part of a attempt to develop and coordinate a central strategy.
Reported by

Tim Cumming, Chief Executive of Old Mutual Asset Managers South Africa Ltd., a wholly-owned unit of Old Mutual PLC outlined the following divisions to Dow Jones Newswires:

  • A multi-style grouping of six to nine of UAM’s financial affiliates called OMAM US
  • A second grouping focused on its mutual funds activities, driven from the Pilgrim Baxter assets
  • A third of 31 to 34 (under) “review” companies, which could be sold or merged with other units

Old Mutual US Holdings will be the holding company for the three units.

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Cumming told Dow Jones “UAM is a conglomerate of financial companies, some good, some poor and some in the middle. There had been no central strategy and no strategic drive to coordinate the businesses.”

The $2.4 billion acquisition of UAM in September brought the US group’s 41 financial companies – and more than $53 billion in managed assets – under the Old Mutual umbrella.

Old Mutual reportedly does not intend to rebrand the individual companies.

 

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