Placing Announcement

Old Mutual PLC
06 March 2003



          NOT FOR DISTRIBUTION IN THE UNITED STATES OR TO US PERSONS.



This announcement is not an offer of the Old Mutual plc shares (the 'ordinary
shares') for sale into the United States.  The ordinary shares have not been and
will not be registered under the US Securities Act of 1933 and may not be
offered or sold in the United States unless they are registered or exempt from
registration.  There will be no public offer of ordinary shares into the United
States.



                                 OLD MUTUAL PLC



   Proposed placing of new ordinary shares to raise approximately £36 million



Old Mutual plc ('Old Mutual') today announces a placing (the 'Placing') of new
ordinary shares to be effected subject to the satisfaction of certain conditions
by way of an accelerated bookbuilt placing (the 'Placing Shares') arranged by
Merrill Lynch International ('Merrill Lynch') to raise approximately £36 million
(after deduction of commissions and expenses).  The placing price is subject to
agreement between Merrill Lynch and Old Mutual and will be announced as soon as
practicable after the close of the accelerated bookbuilding period.  The entire
Placing represents approximately 1.3 per cent of the current issued ordinary
share capital of Old Mutual.



The proceeds of the Placing will be used to fund the payment of the second fixed
instalment of the payments due to Harold Baxter and Gary Pilgrim, the principals
of Old Mutual's US management subsidiary, Pilgrim Baxter & Associates Limited,
under the restructuring agreement terms in relation to the Pilgrim Baxter
revenue share agreement, announced on 14 March 2002.



The book will open with immediate effect and will close no later than 7th March
2003.



The Placing is not being made in or into South Africa, Japan, Canada, Namibia,
Zimbabwe or Malawi.



                                                                  6th March 2003



Enquiries:


Old Mutual plc, London

James Poole, Director of Investor Relations          Tel: + 44 20 7569 0100

Don Hope                                             Tel: [phone]


Merrill Lynch                                        Tel:  [phone]

Rupert Hume-Kendall

Michael Findlay


College Hill London                                  Tel: + 44 20 7457 2020

Tony Friend



This announcement does not constitute an invitation to underwrite, subscribe for
or otherwise acquire or dispose of any ordinary shares.  Past performance is no
guide to future performance and persons needing advice should consult an
independent financial adviser.



Merrill Lynch is acting for Old Mutual in connection with the Placing and no one
else, and will not be responsible to anyone other than Old Mutual for providing
the protections afforded to clients of Merrill Lynch or for giving advice in
relation to the Placing.



Appendix

                       FURTHER INFORMATION ON THE PLACING



The Placing is to be made by Merrill Lynch acting as agent of Old Mutual.



The Placing Shares will rank pari passu with Old Mutual's existing ordinary
shares of 10p each, including the right to participate in all dividends and
other distributions declared, paid or made after the date of this announcement
on or in respect of such shares. Accordingly the Placing Shares will rank for
the proposed final dividend for the year ended 31 December 2002 of 3.1p per
share, announced on 24 February 2003.  Placees' commitments to acquire the
Placing Shares will be subject to the Placing agreement not being terminated.
Commitments to acquire Placing Shares made in the bookbuilding process are not
capable of termination or rescission by placees in any circumstances.

Confirmation of an allocation of Placing Shares to a placee will constitute the
agreement of such placee (subject to the conditions referred to above):

(i)                  to subscribe at the placing price for the number of Placing
Shares allocated in a proportion to be determined at the discretion of Merrill
Lynch;

(ii)                that it is not a person in Japan, Canada, South Africa,
Namibia, Zimbabwe or Malawi and is outside the United States (as defined in
Regulation S under the US Securities Act of 1933 (the 'Securities Act')) or is a
'Qualified Institutional Buyer' (within the meaning of Rule 144A under the
Securities Act ); and

(iii)               that it is a person whose ordinary activities involve
acquiring, holding, managing or disposing of investments (as principal or agent)
for the purposes of its business if it is in the United Kingdom.

Settlement for the Placing Shares is expected to occur three London business
days after confirmation of the price and allocation is sent to placees.

Any Placing Shares to be placed under the arrangements will be acquired on the
basis that the placee has not relied (i) on any information, representation and/
or warranties from Merrill Lynch nor (ii) on any information, representation and
/or warranties from Old Mutual save for the information contained in this
announcement.

Settlement of subscriptions for Placing Shares will only be free of United
Kingdom stamp duty and stamp duty reserve tax ('SDRT') if the Placing Shares are
not acquired in connection with arrangements to issue depository receipts or to
transfer or issue Placing Shares into a clearance service and on the basis that
subscribers of Placing Shares are not, and are not acting as nominee or agent
for, a person (or its nominee) who is or may be liable for United Kingdom stamp
duty or SDRT under Section 67, 70, 93 or 96 of the Finance Act 1986.  If all
such requirements are not satisfied, or the settlement relates to other dealings
in Placing Shares, United Kingdom stamp duty or SDRT may be payable for which
neither Old Mutual nor Merrill Lynch will be responsible.

The making of an offer in, or to residents or citizens of, certain jurisdictions
('Foreign Shareholders') may be restricted by laws of the relevant
jurisdictions.  Foreign Shareholders should inform themselves about and observe
any such applicable legal requirements in their respective jurisdictions.

This announcement does not constitute an offer to sell or issue, or constitute
the solicitation of an offer, in any jurisdiction in which such offer is
unlawful.

Application has been made for the Placing Shares to be admitted to the Official
List of the UK Listing Authority and for admission to trading on the London
Stock Exchange.  Applications will be made for the Placing Shares to be listed
on the JSE Securities Exchange South Africa and the Malawi, Namibian and
Zimbabwe Stock Exchanges.





                      This information is provided by RNS
            The company news service from the London Stock Exchange