Fortis to sell ABN AMRO TEDA Share to Old Mutual

Fortis Bank SA/NV (“Fortis”), Old Mutual plc (“Old Mutual”) and Tianjin TEDA Investment Holding Co., Ltd (“TEDA”) have entered into an agreement for Old Mutual to acquire the 49% stake that Fortis holds in ABN AMRO TEDA Fund Management Co., Ltd (“AATEDA”), a major Chinese asset management joint venture, for a cash consideration of approximately EUR 165 million.

AATEDA is a leading fund management company in the People’s Republic of China (“PRC”) founded in 2002, 49% owned by ABN AMRO Asset Management (Asia) Limited since 2003 – recently acquired by Fortis – and 51% by a PRC company controlled by TEDA, a large PRC investment company owned by the city of Tianjin. As of 30 June 2008, its assets under management amount to RMB 21.1 billion (EUR 2.05 billion).

The sale is the result of regulatory compliance following Fortis’s acquisition in April 2008 of the asset management business of ABN AMRO Group, and is subject to approval by the China Securities Regulatory Commission (CSRC) and relevant government authorities.

Lex Kloosterman, member of the Fortis Group Executive Committee and responsible for Asset Management commented: “Due to regulatory requirements of the PRC, we had to sell one of two very successful companies, namely Fortis Haitong or ABN AMRO TEDA Fund Management. TEDA supported the choice for Old Mutual as a buyer for AATEDA and Old Mutual is committed to further developing the company, hand in hand with TEDA. Given the very good relationship we enjoy with TEDA and the JV, we are happy to have an agreement with both TEDA and Old Mutual in the best interests of all stakeholders.”

Old Mutual’s Asia Pacific President Steffen Gilbert said the Joint Venture would play a significant role in developing the Group’s international strategy. “This is a rare opportunity to buy a sizeable stake in a well established and well managed asset management business in the region. We have been impressed by the JV’s management team and the achievements they have made.

This partnership establishes Old Mutual’s presence in the Chinese asset management market and lays the foundations for Old Mutual Group’s further expansion in Asia. The company’s existing retail and institutional clients and partners will continue to benefit from the Joint Venture’s growing expertise. Old Mutual will bring high levels of innovation and product development, global and emerging market fund management expertise and training, which will build on the valuable progress made to date and take the Joint Venture to the next level in its development into an international asset manager.”

The transaction will not have a material impact on the Fortis net profit per share and is expected to provide solvency relief of approximately half of the cash consideration.