Old Mutual plc unbundles from Nedbank

Old Mutual plc unbundles from Nedbank

HARARE, London-based Old Mutual Plc (OMP) has now unbundled majority of its shareholding in the issued share capital of Nedbank Group Limited (Nedbank) to ordinary shareholders of Old Mutual following the conclusion of initial phases of unbundling of the group.
The Nedbank unbundling is the final step of the Managed Separation, which was materially completed during the six months ended June 2018 and the board believes that the Nedbank Unbundling continues to be in the best interests of Old Mutual.
Each shareholder will receive Nedbank shares (which are listed on Johannesburg Stock Exchange and Namibian Stock Exchange) in the ratio 3.21176 Nedbank shares for every 100 Old Mutual share.
In an update old mutual said  the process will  allow investors to participate in the substantially different investment cases of Old

Mutual and Nedbank, provides a substantial return of capital to Old Mutual Shareholders  and support  the efficient allocation of capital.
It’s also expected to underpin mutually beneficial arm’s length commercial arrangements through the retention of a minority stake of

19.9% in Nedbank in the  Group’s shareholder funds.

While shares held in Old Mutual will be unaffected, the distribution of Nedbank Shares to Old Mutual Shareholders could result in fractional entitlements for recipients.,
“If you are an Old Mutual Shareholder as at the Record Time, Nedbank Shares will be distributed to you in addition to the Old Mutual Shares

held by you as at the Record Time. For example, if you hold100 Old Mutual shares you will receive 3 Nedbank Shares and a fractional
entitlement to 0.21176 of a Nedbank Share.
If you hold 1,000 Old Mutual Shares, then you will receive 32 Nedbank Shares and a fractional entitlement to 0.1176 of a Nedbank Share

You will receive cash in respect of this fractional entitlement.
Certain restricted Old Mutual Shareholders will have their entitlements to Unbundled Nedbank Shares sold for cash and the

proceeds distributed to them,”’ said Old mutual

The Nedbank Unbundling will take place on October 15 2018.  The Nedbank Share price on the Johannesburg Stock Exchange on the Last Practicable Date, the total distribution to Old Mutual Shareholders is approximately R43.2 billion