| Wed 29 May 2002, 0:00 | | OLD MUTUAL PLC - US DISTRIBUTION ALLIANCE |
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OLD MUTUAL PLC
ISIN CODE: GB0007389926
SHARE CODE: OML
ISSUER CODE: OLOML
Old Mutual Establishes Strategic Distribution Alliance
with Nuveen Investments in Connection with Sale of NWQ Investment Management
BOSTON--(BUSINESS WIRE)--May 29, 2002-- The U.S. asset management group of
Old Mutual plc (LSE: OML) today announced that the firm has reached
agreement to sell NWQ Investment Management Company (NWQ) to John Nuveen
Company (NYSE: JNC) and has established with Nuveen a strategic alliance
through which Nuveen Investments will distribute selected capabilities of
Old Mutual`s asset management affiliates.
The alliance, which has an initial term of five years extendable upon mutual
consent, provides that Nuveen will give priority consideration to firms
within Old Mutual`s U.S. asset management group for third-party sub-advisory
mandates initiated by Nuveen in connection with new or existing products.
Nuveen`s distribution platforms include products marketed under the Nuveen,
Rittenhouse, and Symphony brands.
To acquire NWQ, Nuveen Investments will pay Old Mutual cash in the amount of
$140 million, which includes up to $20 million over five years that can be
offset by fees paid to Old Mutual affiliates under the strategic alliance.
The transaction is expected to close within 60 days. NWQ, a value-oriented
equity specialist managing over $7 billion, became a part of Old Mutual in
2000 through Old Mutual`s acquisition of United Asset Management
Corporation.
"The depth and range of our investment capabilities, particularly in the
area of domestic value equities, provides us this opportunity to open
additional channels of distribution and potential areas of growth for our
firms," said Scott Powers, chief executive of U.S. asset management for Old
Mutual. "Nuveen and Old Mutual have complementary strengths in U.S. asset
management which we believe provide great prospects for our firms to work
effectively together. Nuveen offers our investment managers significant
presence in certain key channels through its extensive network of
relationships with financial advisors and high net worth investors. We
continue to focus on expanding our distribution by leveraging the strength
and diversity of our investment capabilities."
"Through our alliance with Old Mutual, we`ll be able to tap into a range of
highly capable investment managers with expertise that complement the Nuveen
Investments group of core investment specialists," said Nuveen Investment`s
chairman and CEO, Tim Schwertfeger.
Kevin Hunt, director of sales, marketing and product development for Old
Mutual`s U.S. asset management group, will lead efforts to maximize the
value of the distribution alliance for Old Mutual firms. "Operating in a
sub-advisory capacity is ideal for many of our firms because it allows them
to focus on their core competencies in investment management," said Mr.
Hunt. "I look forward to working closely with Nuveen and our affiliates to
identify promising areas for joint efforts."
About Nuveen Investments
Nuveen Investments, a unit of The John Nuveen Company, provides high quality
investment management services that are essential to building balanced core
investment portfolios. Nuveen Investments serves financial advisors and
their high-net-worth clients, as well as a growing number of institutional
clients. The Company today markets its capabilities under three distinct
brands: Nuveen, a leader in tax-free investments; Rittenhouse, a premier
retail managed account service platform; and Symphony, a leading
institutional manager of market-neutral alternative investment portfolios.
The John Nuveen Company is listed on The New York Stock Exchange and trades
under the symbol "JNC."
About Old Mutual`s U.S. Asset Management Group
Old Mutual`s U.S. asset management businesses managed in aggregate $147
billion as of March 31, 2002. The businesses include the member firms of
Old Mutual Asset Managers (US); Pilgrim Baxter & Associates, the investment
advisor to the PBHG Funds; and other affiliated firms acquired by Old Mutual
as part of its acquisition of United Asset Management Corporation in
September 2000. More information on Old Mutual Asset Managers (US) and its
member firms is available at www.omam.com; on Pilgrim Baxter and the PBHG
Funds at www.pbhgfunds.com; and on the other Old Mutual affiliates at
www.oldmutualus.com.
About Old Mutual plc
Old Mutual plc is an international financial services company based in
London, with operations in asset management, life assurance, banking and
general insurance. The company is listed on the London Stock Exchange with
a market capitalization of approximately R62.3 billion as of May 28, 2002.
More information on Old Mutual is available at www.oldmutual.com.
29 May 2002
ENQUIRIES:
Old Mutual plc, London: Tel: +44 (0)20 7569 0100
James Poole, Director Investor
Relations
College Hill, London: Tel: +44 (0)20 7457 2020
Tony Friend
Nicholas Williams
College Hill, South Africa: Tel: +27 (0)11 447 3030
Robyn Hunt
Date: 29/05/2002 10:42:00 AM Produced by the SENS Department
