Old Mutual outlines Quilter IPO price range

Old Mutual revealed that the spin-off and initial public offer of its Quilter arm would be priced at 125p to 155p per share.

The Anglo-South African group is looking to float up to 9.6% of Quilter shares, plus a possible over-allotment option of up another 9.5%.

Final confirmation of the offer price is expected to be announced on or about 25 June.

Formerly known as Old Mutual Wealth Management until rebranding last year, Quilter was recently revealed by its FTSE 100-listed parent to have grown net client cash flow 14% in the first quarter to £1.6bn, with assets under management down 2% to £111.6bn, as negative market movements were partially offset by the strong cash flow.

Quilter is in the process of rebuilding its online platform and, along with five other closed book life assurance peers, is being investigated by the Financial Conduct Authority, principally around the appropriateness of certain charges levied on long standing customer products. Quilter has already voluntarily provided for some compensation, but the FCA has not yet made a final decision.