Goldman Sachs on Monday said it was going to list its alternative asset management unit on the London Stock Exchange.
Petershill Partners buys up minority stakes in private-equity fund managers, and its partners had $187 billion in assets under management as of June 30. It said its compound annual growth rate was 21% over 2018 to 2020, and reported $310 million in earnings in the 12 months ending June 30. The majority of new prospective acquisitions by Petershill Partners are expected to be private capital managers, it added.
“While U.S. private equity firms have been busily streamlining the U.K. market as they launch a series of opportunistic bids for British businesses, a vehicle tracking the industry could soon be soon be swelling the ranks of London Stock Exchange,” said Russ Mould, investment director at AJ Bell.
The company said it would raise at least $750 million in the IPO, and published reports suggested it was targeting $5 billion.
The FTSE 100 UKX, +0.78% rose 0.6% to 7,180.52, as European stocks advanced on Monday with U.S. markets shut for Labor Day. The disappointing jobs creation figures for August led to expectations the Federal Reserve would move slowly to taper its asset-purchase program.
Dechra Pharmaceuticals DPH, -4.27%, which has gained 40% this year, slumped 5%. The veterinary pharmaceutical company reported a 26% increase in underlying operating profit on 18% revenue growth for the June 30-ending year.