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Investec plots to spin off ?109bn funds arm so that it doesn't 'mix apples with pears' 

South African banking giant Investec has decided to spin off its ?109bn asset management arm to end the mixing of "apples and pears" under one roof. 
Chief executive and co-founder Stephen Koseff, who is stepping down later this year after four decades with the firm, said demerging the funds unit will be like seeing his daughter leave home. 
"It was very hard when she left home to get married, but now I've got three wonderful grandchildren - it's hard but very rewarding later on," he said.
The move follows a seven-month review of the business which one source said explored "practically everything you could imagine, nothing was off the table" although no talks with rivals are understood to have taken place. 
Mr Koseff said a split made the most sense as it will mean the group is not "mixing apples and pears with the revenue streams". JP Morgan and Fenchurch Advisory Partners advised on its options. 
City analysts said the division is likely to be worth between ?1.8bn and ?2.2bn after the float.  
Shares in Investec shot up as much as 11pc on Friday as investors welcomed the news. 
Investec plots to spin off ?109bn funds arm so that it doesn't 'mix apples with pears' 

Investec plans to float its asset management business on the London Stock Exchange with an secondary listing in Johannesburg
Shares in Investec's funds unit, set up in 1991 with ?40m worth of assets under management, will list on the London Stock Exchange with a secondary listing in Johannesburg, subject to shareholder approval.
The move comes ahead of a major management overhaul that was first announced in February. Next month Mr Koseff will step down from his role alongside two other founding members, managing director Bernard Kantor and finance director Glynn Burger.  
After the demerger, asset management head Hendrik du Toit, whose total pay for 2018 will exceed ?6m, will lead the spun off group while co-head Fani Titi will run what is left of the business.
No job cuts are planned as a result of the changes, Mr Koseff said.  
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