Old Mutual prepares to raise £200m in fund float ahead of name change
Asset manager Old Mutual Global Investors (OMGI) is preparing to raise £200m by floating a new investment fund aimed at private companies.
The company has never previously formed a vehicle aimed at investing in unquoted firms. It is expected to announce the fund, called the Merian Chrysalis Investment Company, this week.
Its portfolio is expected to consist of up to 15 firms, and it will be run by Richard Watts and Nick Williamson. Watts is noted for focusing on mid-tier stocks, while Williamson specialises in small companies.
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OMGI manages around £7bn in assets across its small and mid-cap desks, according to the Sunday Times. The firm, run by Richard Buxton, is set to rebrand shortly as Merian Global Investors, following a £583m management buyout by private equity firm TA Associates, which was led by Buxton. It was previously owned by Quilter, which was itself formerly known as Old Mutual Wealth.
Speaking at the time of its buyout, Buxton said: “As ever, our priority remains running distinctive, genuinely active funds. In my view, volatility is set to make a comeback as central banks end the extraordinary monetary policy experiment of the last decade; we are committed to helping clients navigate this unprecedented market environment.”
OMGI declined to comment.