By Lawrence White
LONDON (Reuters) – Goldman Sachs unit Petershill Partners plans to raise at least $750 million in London by listing a new vehicle comprising its 19 minority stakes in various alternative asset managers, it said on Monday.
Petershill, which takes minority stakes in private equity and hedge funds, will be a standalone company operated by the Goldman Sachs Asset Management team, it said.
The listing would value Petershill, founded in 2007, at about $5 billion, according to media reports on Monday.
As well as issuing the new shares worth $750 million, it will sell existing shares, it said.
Private equity funds have soared in value over the past year as money pours in from investors looking for higher returns when interest rates are so low.
In July, British buyout firm Bridgepoint listed in London, with its shares now up more than 40% from its debut price.
The business takes advantage of its relationship with Goldman Sachs to source attractive acquisitions in alternative asset management, it said.
Petershill itself has no fixed assets but holds positions in 19 alternative asset managers with combined assets under management of $187 billion.
It pivoted its investment strategy to focus on technology in 2017 and is now shifting to focus on the effects of the COVID-19 pandemic by investing in firms in sectors such as healthcare, balance sheet repair and environmental, social and governance (ESG).
(Reporting by Lawrence White; Editing by Edmund Blair)
