Old Mutual Plots Course That Will Split 173-Year-Old Business

  • Insurer to separate remaining units by the end of this year
  • The new Old Mutual Ltd. plans ‘return’ to Africa on the JSE

Old Mutual Plc. offices  in London.

Photographer: Simon Dawson/Bloomberg

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Old Mutual Plc’s shareholders received their final road map for businesses that are going their separate ways.

The London-based insurer, founded in South Africa in 1845, is splitting its four financial-services businesses through what it calls a managed separation, and on Friday it gave final details on what shareholders will get. It is hiving off its wealth management unit, emerging-markets business and Johannesburg-based lender Nedbank Group Ltd. after concluding that the company’s shares trade at a discount to the total value of the individual assets. In November, it completed the disposal of its U.S.-based OM Asset Management division, which has since re-branded itself as BrightSphere Investment Group Plc.