Nedbank to acquire 20% of Ecobank

RNS Number : 3104T

Old Mutual PLC

02 October 2014

 



Old Mutual plc

Ref 217/14

02 October 2014

nedbank to acquire 20% of Ecobank Transnational incorporated

Old Mutual plc ("Old Mutual" or "the Group") welcomes the announcement by Nedbank Group Limited ("Nedbank Group"), the majority-owned South African banking subsidiary of Old Mutual, that it has exercised its rights to subscribe for a 20% shareholding in Ecobank Transnational Incorporated ("ETI").

Nedbank Group will subscribe for 4,512,618,890 new ETI shares to be issued for a cash consideration of USD493.4 million. The full text of Nedbank Group's announcement can be accessed on its website at: www.nedbankgroup.co.za 

Julian Roberts, Group Chief Executive of Old Mutual, said: "This investment demonstrates our commitment to Ecobank and is a further deepening of Nedbank's strategic alliance. It is a significant step in the Old Mutual Group's ambition of becoming Africa's financial services champion."

ETI and Nedbank Group established their strategic business alliance in 2008, with the aim of providing seamless banking services across the continent to each other's clients. The alliance has enabled clients to access a unique one-bank experience across more than 2,000 branches and offices in 39 countries, the largest banking network in Africa. This transaction deepens the alliance and includes a commitment to reciprocal technical banking expertise and management support.

Old Mutual currently has bancassurance agreements with ETI in Ghana and Nigeria, and ETI remains a shareholder in Old Mutual Nigeria, which Old Mutual bought from ETI in February 2013.

Enquiries

External communications

Patrick Bowes                           UK        [phone]

Investor relations

Dominic Lagan                           UK        [phone]

Media

William Baldwin-Charles                         [phone]

                                                            [phone]

Notes to Editors

Old Mutual provides investment, savings, insurance and banking services to more than 16 million customers in Africa, the Americas, Asia and Europe. Originating in South Africa in 1845, Old Mutual has been listed on the London and Johannesburg Stock Exchanges, among others, since 1999.

In the year ended 31 December 2013, the Group reported adjusted operating profit before tax of £1.6 billion (on an IFRS basis) and had £294 billion of funds under management from core operations.

For further information on Old Mutual plc, please visit the corporate website at www.oldmutual.com 

 

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