Eureko may make acquisitions in emerging markets with the 250 million pounds ($455 million) cash it got from merging its F&C asset management unit with Britain’s ISIS.
Eureko, which is now focused on insurance activities, sold most of its stake in F&C through a reverse takeover by ISIS Asset Management to create Britain’s fourth-largest asset manager. “There are considerable opportunities that present themselves … including acquisitions,” Eureko spokeswoman Lorrie Morgan said of the group’s plans for the cash. Asked where the group would look to make purchases, she said: “Emerging markets are always very interesting.”
Together with F&C management and employees, Eureko, which owns Dutch insurer Achmea and Greece’s Interamerican, will retain a 23 percent stake in the enlarged asset manager. “Asset management has essentially become a non-core business but remains a strong flanking business. Our strategic focus is on insurance,” Morgan said.
Eureko, which has long wanted to float but has not set a date, now has the money to expand without an initial public offering.