London - Insurer Old Mutual [JSE:OML] reported a 12% rise in
first-half profit, helped by a strong performance at its South African banking
business, and said it was pressing ahead with plans to expand across
sub-Saharan Africa.
Old Mutual, which runs insurance, banking and asset
management businesses in about 30 countries, made an adjusted pretax operating
profit of £791m in the first six months of the year, it said on Wednesday.
The improvement partly reflected a 27% jump in profit at
Nedbank Group [JSE:NED], its majority-owned South African banking business.
Old Mutual, which in March announced plans to bolster its
presence in fast-growing African markets, said it was considering a move into
Nigerian non-life insurance.
The company, which has said it aimed to sell its Nedbank
stake as part of a plan to refocus on life insurance and asset management, also
said it had paid off £603m of debt this year.
That brought it within £450m of its target of reducing
borrowing by £1.5bn by the end of 2012.
Old Mutual shares closed at 170 pence on Tuesday, valuing it
at about £8bn.
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