OLD MUTUAL TO RAISE $220M FOR US OPS

ANGLO-South African insurance group Old Mutual Plc is to restructure the revenues of its US operations, which it will finance through a share placing to raise $220m. The restructuring follows the completion in September of its purchase of US fund management group United Asset Management Corp (UAM). Old Mutual said it was to restructure the revenue-sharing arrangement between UAM and Harold Baxter and Gary Pilgrim – the principals of its affiliate Pilgrim Baxter Associates (PBA) – by buying out 52% of their interests for $220m. The two principals in return had committed to new long-term contracts. – Reuters