Old Mutual has outlined details of its break-up plan, saying it intends to create two separate publicly listed businesses in a demerger rather than raising fresh cash through initial public offerings or sales to private equity buyers as had previously been speculated.

The UK-South African insurance group, which said in March that it will split into four parts by the end of 2018, gave fresh details on its plans in a statement on June 28. It said it will demerge its business by distributing shares to its existing shareholders rather than trying to drum up appetite among buyers in tough markets.