Stock picker eyes Old Mutual deal

VETERAN City fund manager Richard Buxton is leading talks with private equity firms about a takeover of Old Mutual’s £25bn asset management arm.

The 53-year-old has discussed a buyout of Old Mutual Global Investors with potential backers who include TA Associates.

Goldman Sachs is also said to be consulting potentially interested parties.

Buxton is currently chief executive of Old Mutual Global Investors, which is part of Old Mutual’s wealth management business.

The Anglo-South African financial services group is itself in the middle of an ambitious break-up into four new companies. A spokesman for Old Mutual Wealth confirmed Old Mutual Global Investors could also ‘develop as a separate and distinct business’.

A source familiar with the matter told Reuters that options for the unit led by Buxton include a management buyout or an acquisition by a trade buyer. He would remain as chief executive under the proposals.

The multi- asset arm of Old Mutual’s wealth management business, which is run by Paul Simpson and controls about £16bn of assets, is not expected to be included in any deal struck.