Petershill Partners To List On London Stock Exchange
Goldman Sachs' Petershill Partners, which provides growth capital to independent alternative asset management firms, plans to list on the London Stock Exchange. The unit's current portfolio comprises minority investments in 19 firms which have $187bn of aggregated assets under management; roughly four fifths of these investments are private markets firms and one fifth absolute return.
The float would comprise both the issue of new ordinary shares, raising gross primary offer proceeds of approximately $750mn to fund ongoing expenses and acquire further alternative asset manager stakes and the sale of existing ordinary shares in order to achieve a free float of 25%; Petershill Partners will be a standalone company operated by Goldman Sachs Asset Management.
Naguib Kheraj, Non-executive Chair of Petershill Partners, said:
“Through a London listing, Petershill Partners would make available to public market institutional investors a unique opportunity to access stakes in a number of leading privately owned alternative asset managers. Goldman Sachs has been a pioneer and is a global leader in the specialised business of making minority investments in alternative asset managers. Through Petershill Partners, investors would benefit from the expertise of Goldman Sachs as its operator both in terms of managing the existing portfolio and developing opportunities to make additional future investments in this rapidly growing industry.”
Ali Raissi, Co-head of the Petershill group within Goldman Sachs said:
"Over the past 14 years, the Petershill group within Goldman Sachs has established itself as a partner of choice in the private capital sector. This IPO would be a natural next step in the evolution of the offering to Partner-firms, establishing a permanent capital source, and demonstrating long-term strategic alignment and partnership. We would continue to support the growth of leading alternative asset managers whose best days are ahead of them, whilst allowing their management teams to maintain their strategic focus, drive and independence.”
Robert Hamilton Kelly, Co-head of the Petershill group within Goldman Sachs said:
“Petershill Partners would provide shareholders with access to the growth and profitability of the Alternatives industry in a new and differentiated way, allowing them to benefit from the economics of a highly cash generative company that benefits from stable, long-term fee-related earnings delivered by high-performing firms, based on long-dated assets. We believe our long track record of creating win- win partnerships and the extremely high barriers to entry in this industry position us well to continue to deliver growth and generate attractive returns for all stakeholders.”
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