Old Mutual Wealth unit listing could include IPO - spokesman

LONDON, Oct 12 (Reuters) - Anglo-South African financialservices firm Old Mutual's planned demerger and listingof its UK asset management unit could also include the sale ofequity through an initial public offering, an Old Mutualspokesman said on Wednesday.

Old Mutual is planning to break itself up into its four mainbusinesses, with a target date for completion of end-2018.

"We may potentially have an IPO element for Old MutualWealth, but... the listing will be primarily via a demerger," anOld Mutual spokesman said by email, confirming comments he saidwere made at a capital markets day this week.

A demerger via a listing offers shares to existingshareholders, while an IPO is a share offering on the openmarket.

Old Mutual has said it plans to cut its stakes in its U.S.business OM Asset Management and South African bankNedbank and aims to dual-list its UK asset managementand emerging markets businesses in London and Johannesburg.

It said it was also open to approaches to sell itsbusinesses. Analysts value Old Mutual Wealth at 3-4 billionpounds ($8.70 billion).

Old Mutual Wealth posted a sharp drop in third-quarterclient inflows on Tuesday and said markets would remaindifficult following Britain's vote to leave the European Union.

($1 = 0.8042 pounds) (Reporting by Carolyn Cohn; editing by Simon Jessop)