LONDON, April 27, 2001 (PRIMEZONE) -- Old Mutual plc ("Old Mutual") (LSE:OML) today announced that it has signed a definitive agreement to sell Pell Rudman & Co, Inc. ("Pell Rudman") of Boston to AMVESCAP. Pell Rudman provides asset management services to high net worth individuals, families and foundations, and endowments.
Pell Rudman became a part of Old Mutual last year through Old Mutual's acquisition of Boston-based United Asset Management Corporation. The net assets of Pell Rudman were included in the "net assets of businesses acquired for resale" in the accounts of Old Mutual for the year ended December 31, 2000.
The sale will be met through a cash payment of $172 million and potential further payments of up to $28 million over two years. The transaction is subject to regulatory approval and is expected to close in the third quarter of 2001.
Eric Anstee, Chief Executive Financial Services, Old Mutual said, "The sale of Pell Rudman allows us to focus our U.S. asset management activities on our core strategies. We wish Pell Rudman and AMVESCAP a successful relationship."
Goldman Sachs acted as advisor to Old Mutual and De Guardiola Advisors acted as financial advisor to AMVESCAP for the transaction.