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Old Mutual Completes Sale Of Italian Wealth Management Arm

Josh O'Neill Reporter 10 January 2017

Old Mutual Completes Sale Of Italian Wealth Management Arm

Old Mutual Wealth Italy was established in 1997.

Old Mutual has completed the sale of its Italian wealth management arm to Phlavia Investimenti, previously ERGO Italia, an international private equity firm.

The completion of the sale marks the final part of the divestment of Old Mutual Wealth’s continental European business, allowing it to focus on its core UK and cross-border markets, the firm said in a statement.

“This represents an important landmark for our business as it completes Old Mutual Wealth’s exit from continental Europe. Whilst we are sorry to lose our colleagues from Old Mutual Wealth Italy, we believe their growth prospects will be enhanced under the new ownership,” said Paul Feeney, chief executive of Old Mutual Wealth.

Commenting on the transaction, group CEO of Phlavia Investimenti, Erik Stattin, said: “We are extremely satisfied to announce this new milestone on our path to become a consolidator in the Italian market. We have already sold our non-life insurance company in order to concentrate on life insurance; the acquisition of Old Mutual Wealth Italy is another step to strengthen our position through financial, operational and commercial synergies and diversify our product portfolio and distribution network, generating further cross selling opportunities for our business.”

Old Mutual Wealth Italy was established in 1997. The business employs 110 staff and manages €7 billion ($7.4 billion) for more than 53,000 clients.

Rothschild advised Old Mutual on the divestiture.

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