AP Fonden 2, the state pension fund which led an attack on Old Mutual's £3.6bn (€5.2bn) hostile bid for Skandia, is to sell its entire 3.5% stake in the Swedish insurer because it lacks confidence in Old Mutual's "leadership and ability to make the most of Skandia's qualities".

Carl Rosén, head of corporate governance at AP2, told Financial News: "We have tried to have negotiations with Old Mutual on a whole lot of different questions and we have realised that they do not have an interest in having any discussions with minority shareholders."