InvestmentsSep 14 2018

Investec plans IPO for asset management arm

twitter-iconfacebook-iconlinkedin-iconmail-iconprint-icon
Search supported by
Investec plans IPO for asset management arm

South African banking group Investec is to list its investment business, Investec Asset Management, on the London Stock Exchange.

The company announced this morning that it will separate the asset management business, which has about £109bn assets under management, from the rest of the company.

The shareholding owned by the management of Investec Asset Management will be retained, while the parent company will also retain a shareholding.

Stephen Koseff, chief executive of Investec, said: "Our individual businesses are well-positioned strategically, with strong market positions and good prospects. It is now the right time to demerge and list our asset management business to support it in the next phase of its development.

"In recent years we have also made good progress in expanding our banking and wealth management franchises in our two key markets and improving their operational and financial performance.

"We believe the transaction will allow these businesses to fulfil their full potential and shareholders will benefit from future value creation through direct ownership of two separately listed companies."

The company said it expects to complete the transaction within the next year, with further details to be announced in due course.

david.thorpe@ft.com