Old Mutual sells down further stake in OMAM

Old Mutual has struck a deal to offload almost half of its stake in its asset management business for $446m.

Following the sale to the US arm of China's HNA Capital in two tranches, Old Mutual's will have a 25.9% holding in OM Asset Management, down from 50.8%.

Old Mutual reiterated that it will continue cutting its holding in OMAM in an orderly manner and said it would use the proceeds from the transaction for general corporate purposes.

The sale is made up of a first sale of a 9.95% portion of OMAM shares at a price of $15.30 per share, which is subject to antitrust clearance under the Hart-Scott-Rodino (HSR) Act in the US and is expected to take place in approximately 30 days, before a second slice of a further 15% is sold at $15.75 per share.

"We are very pleased to announce this transaction which brings forward further realisation of value for Old Mutual," said chief executive Bruce Hemphill.

"It represents another step in delivering our managed separation strategy and secures a strategic long-term investor for OMAM".