| Thu 21 Aug 2008, 8:32 | | OML/OLM - Old Mutual Plc - Fortis to sell ABN AMRO TEDA share To Old Mutual |
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OML/OLM - Old Mutual Plc - Fortis to sell ABN AMRO TEDA share To Old Mutual
Old Mutual Plc
ISIN CODE: GB0007389926
JSE SHARE CODE: OML
NSX SHARE CODE: OLM
ISSUER CODE: OLOML
Joint Media Release
Brussels, Utrecht, London, 21 August 2008
FORTIS TO SELL ABN AMRO TEDA SHARE TO OLD MUTUAL
Fortis Bank SA/NV ("Fortis"), Old Mutual plc ("Old Mutual") and Tianjin TEDA
Investment Holding Co., Ltd ("TEDA") have entered into an agreement for Old
Mutual to acquire the 49% stake that Fortis holds in ABN AMRO TEDA Fund
Management Co., Ltd ("AATEDA"), a major Chinese asset management joint
venture, for a cash consideration of approximately EUR 165 million.
AATEDA is a leading fund management company in the People`s Republic of China
("PRC") founded in 2002, 49% owned by ABN AMRO Asset Management (Asia) Limited
since 2003 - recently acquired by Fortis - and 51% by a PRC company controlled
by TEDA, a large PRC investment company owned by the city of Tianjin. As of
30 June 2008, its assets under management amount to RMB 21.1 billion (EUR 2.05
billion).
The sale is the result of regulatory compliance following Fortis`s acquisition
in April 2008 of the asset management business of ABN AMRO Group, and is
subject to approval by the China Securities Regulatory Commission (CSRC) and
relevant government authorities.
Lex Kloosterman, member of the Fortis Group Executive Committee and
responsible for Asset Management commented: "Due to regulatory requirements of
the PRC, we had to sell one of two very successful companies, namely Fortis
Haitong or ABN AMRO TEDA Fund Management. TEDA supported the choice for Old
Mutual as a buyer for AATEDA and Old Mutual is committed to further developing
the company, hand in hand with TEDA. Given the very good relationship we
enjoy with TEDA and the JV, we are happy to have an agreement with both TEDA
and Old Mutual in the best interests of all stakeholders."
Old Mutual`s Asia Pacific President Steffen Gilbert said the Joint Venture
would play a significant role in developing the Group`s international
strategy. "This is a rare opportunity to buy a sizeable stake in a well
established and well managed asset management business in the region. We have
been impressed by the JV`s management team and the achievements they have
made.
This partnership establishes Old Mutual`s presence in the Chinese asset
management market and lays the foundations for Old Mutual Group`s further
expansion in Asia. The company`s existing retail and institutional clients and
partners will continue to benefit from the Joint Venture`s growing expertise.
Old Mutual will bring high levels of innovation and product development,
global and emerging market fund management expertise and training, which will
build on the valuable progress made to date and take the Joint Venture to the
next level in its development into an international asset manager."
The transaction will not have a material impact on the Fortis net profit per
share and is expected to provide solvency relief of approximately half of the
cash consideration.
Further information:
Fortis is an international provider of banking and insurance services to
personal, business and institutional customers. We deliver a total package of
financial products and services through our own high-performance channels and
via intermediaries and other partners. Fortis ranks among Europe`s top 20
financial institutions. We have a presence in over 50 countries and a
dedicated, professional workforce of more than 65,000. All this makes us a
leader in financial services in Europe, a top 3 private banker and a top tier
asset manager. More information is available at www.fortis.com
Old Mutual is an international savings and wealth management company based in
the UK. Originating in South Africa in 1845, the group has a portfolio of
businesses offering asset management, life assurance, banking and general
insurance services in over 40 countries in Europe, the Americas, Africa and
Asia-Pacific. Old Mutual plc is listed on the London Stock Exchange and the
JSE, among others. In the year ended 31 December 2007, the group reported
adjusted operating profit of GBP1.62 billion (on an IFRS basis) and had GBP279
billion of funds under management at the year end. The Company has
approximately 53,000 employees. For further information on Old Mutual plc,
please visit the corporate website at www.oldmutual.com
Fortis Press
Contacts:
Brussels: +32 (0)2 565 35 84 Utrecht: +31 (0)30 226 32 19
Fortis Investor
Relations:
Brussels: +32 (0)2 565 53 78 Utrecht: +31 (0)30 226 65 66
Old Mutual Media Contacts:
Hong Kong: +852 3166 9003
London: +44 (0)20 7251 3801
Old Mutual Investor Relations:
London: +44 (0)20 7002 7367
South Africa: +27 (0)82 810 5672
21 August 2008
Sponsor
Merrill Lynch
Date: 21/08/2008 08:32:01 Produced by the JSE SENS Department.
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