Man Group will separate its asset management and brokerage businesses. Man Financial, the brokerage unit, will be renamed MF Global and will be sold via an IPO on the NYSE in the third quarter, subject to favorable market conditions, according to a news release. Man Group shareholders will receive proceeds from the sale later in the year, most likely in the form of shares. Peter Clarke, group chief executive of Man Group, said in the release that separation of the brokerage and asset management businesses will allow each to better focus on their individual businesses and will add value for Man Group shareholders.
Separately, Man Group reported that assets rose 22% in the year ending March 31 to $61 billion, up from $49.9 billion on March 31, 2006. About $25 billion of total assets was managed for institutional investors.